Sensitivity analysis

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Sensitivity Analysis

Consider a 10-year project with the following information: initial fixed asset investment = $340,000; straight-line depreciation to zero over the 10-year life; zero salvage value; price = $39; variable costs = $15; fixed costs = $163,200; quantity sold = 76,704 units; tax rate = 31 percent. The sensitivity of OCF to changes in quantity sold is $. (Do not include the dollar sign ($). Round your answer to 2 decimal places. (e.g., 32.16).)

Reference no: EM13937663

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