Question: 10. Develop a Crystal Ball model for MasterTech with the fol lowing assumptions (all other data are as described in Problem 13, Chapter 9 ):
10. Develop a Crystal Ball model for MasterTech with the fol lowing assumptions (all other data are as described in Problem 13, Chapter 9 ): Net sales are uniformly distributed between $600,000 and $1,200,000. Cost of sales is normally distributed, with a mean of $540,000 and a standard deviation of $20,000. Selling expenses has a fixed component that is uniform between $75,000 and
$110,000. Administrative expenses are normal, with a mean of $50,000 and standard deviation of $3,500.
Develop a risk profile of net income using Crystal Ball and write a report to management.
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