Question: ( 1 ) Sensitivity Analysis. The expected cash flow forecasts are given below in Table 1 for Otobai Company's Motor Scooter project. Table 2 lists

(1) Sensitivity Analysis. The expected cash flow forecasts are given below in Table 1 for Otobai Company's Motor Scooter project.
Table 2 lists three possible scenarios for each relevant variable. The cost of capital for Otobai Co. is r=10%. For simplicity, when
considering uncertainty, assume that all variables remain constant (in billion Yen), except the one you are changing, and Table 3 lists
all the NPVs in each possible situation.
Please verify the NPV for at least two situations. I will provide solutions for the two worst NPVs.
Table 1. Expected cash flows for the motor scooter project
Table 2. Three possible scenarios Table 3. NPV in each possible situation
( 1 ) Sensitivity Analysis. The expected cash

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