Difference between scenario analysis-sensitivity analysis

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1. What is the difference between scenario analysis and sensitivity analysis? How might you use each during the capital budgeting process?

2. What is the concept of operating leverage? Describe a scenario where a high degree of operating leverage would be positive for a company and one in which it would be negative.

3. Rise Above This has sales per share of $20.63 that is expected to grow at 6 percent per year. The PS ratio is 1.99 times. What is the projected stock price in 7 years?

Reference no: EM132016727

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