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Using the pro forma statements for the previous project and your knowledge of sensitivity analysis determine the input to which the analysis is most sensitive
Using the pro forma statements for the previous project and your knowledge of sensitivity analysis determine the input to which the analysis is most sensitive From the baseline nubmers which are the values given in the previous problem use a range of to determine the sensitivity of our outcome variables NPVIRR to each of the following inputs: Revenue, Expenses, the Initial Investment, the NWC percentage required, the discount rate, and the tax rate. Use a discount rate of to calculate the NPV for the project. Display the sensitivities in a table below, similar to the table that we discussed in the slides. The most sensitive input is the input for which the outcome NPV changes the most as a result of a change in the input. Everything should be done in Excel and should tie back to the actual values from part
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