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Question: Suppose you are the financial manager, if you are asked to use limited resources to refine the assumption on ONLY ONE of the above

Question: Suppose you are the financial manager, if you are asked to use limited resources to refine the assumption on ONLY ONE of the above four parameters, which one should you choose and why? (fill in the blanks highlighted in yellow)image text in transcribed

AutoSave Search Case 1.madison v... - Saved us Madison Van Arsdale MV File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments L13 X for 6% G I J K M N F H 6 7_aseline projections to this sheet, so that your nalysis won't alter your baseline result in the 8 9 10 11 12 13 14 15 Sensitivity Analysis Parameter Initial Assumption Worst Case Best Case Sales in Year 1 $30,000 $27,000 $33,000 NPV 5,346,668 1,998,971 8,694,366 Sales through Year 6 6% 0% 10% NPV 5,346,668 (384,846) 9,846,946 COGS (% of Sales) 72% 77% 67% NPV 5,346,668 (1,810,082) 12,503,418 Cost of Capital 20% 23% 17% NPV 5,346,668 3,417,286 7,567,579 Question: Suppose you are the financial manager, if you are asked to use limited resources assumption on ONLY ONE of the above four parameters, which one should you choose and blanks highlighted in yellow) 16 17 18 19 20 21 Answer: 22 23 NPV Sensitivity Analysis Scenario Analysis Ready 145% Type here to search jj 83F Sunny 4x 3:32 PM 10/4/2021

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