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(please show formulas) Now conduct a scenario analysis. Assume that there is a 25% probability that best-case conditions, with each of the variables discussed in

(please show formulas) Now conduct a scenario analysis. Assume that there is a 25% probability that best-case conditions, with each of the variables discussed in Part b being 20% better than its base-case value, will occur. There is a 25% probability of worst-case conditions, with the variables 20% worse than base, and a 50% probability of base-case conditions.

Sales Unit Variable
Scenario Probability Price Sales Costs NPV
Best Case 25% $28.80 1,200 $14.00
Base Case 50% $24.00 1,000 $17.50
Worst Case 25% $19.20 800 $21.00
Expected NPV =
Standard Deviation =
Coefficient of Variation = Std Dev / Expected NPV =

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