Your Finance Department conducted some economics forecast and estimated that in the coming years, lifted Covid-19 pandemic restrictions, more expensive labour costs and recovering of in person delivery services can result in negative changes of the project value drivers. You team decides to perform a risk analysis to determine the sensitivity of the project's NPV. Required: Perform an NPV sensitivity analysis with the following changes in estimated value drivers of the project. You need to provide your results in (a) relevant tables: Price per unit decreases by 15% Sales decrease by 15% Variable cost per unit increases by 15% Cash fixed cost per year increased by 15% Based on the sensitivity analysis outcome, draw relevant conclusion about project NPV's sensitivity. Your Finance Department conducted some economics forecast and estimated that in the coming years, lifted Covid-19 pandemic restrictions, more expensive labour costs and recovering of in person delivery services can result in negative changes of the project value drivers. You team decides to perform a risk analysis to determine the sensitivity of the project's NPV. Required: Perform an NPV sensitivity analysis with the following changes in estimated value drivers of the project. You need to provide your results in (a) relevant tables: Price per unit decreases by 15% Sales decrease by 15% Variable cost per unit increases by 15% Cash fixed cost per year increased by 15% Based on the sensitivity analysis outcome, draw relevant conclusion about project NPV's sensitivity.
