Sensitivity Analysis Sensitive Controls Limited have a project on hand costing Rs 20 crore with a life of 10 years The expected revenue id Rs 21 crore per annum with variable cost estimated at 50%. The fixed cost are Rs.2 crore while depreciation is on the basis of SLM. The tax rate is 40% and the cost of capital for the firm is 14%. 10:54 AM Find out the following: i) The estimated annual cash flows of the project. ii) Assuming uniform cash flows of the project for entire life and current cost of capital as appropriate discount rate find the net present value of the project. iii) Find out the NPV of the project assuming the revenues can change from 70% to 130% of the expected revenue and plot the NPV with respect to the level of revenue. Find out from the plot the approximate minimum revenue that the project must generate so as to keep the NPV positive. 10:54 AM