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A project has three possible outcomes Probability 0.6 pp P B L Outcome Profit of 50,000 Profit of o Loss of 10,000 EV of project 0.2 pb 0.2.pl Expected value 30,000 0 (2,000) 28,000 EV a) What is the sensitivity of a decision to undertake this project, in respect of b) the 50,000 profit estimate estimate i) the estimated probability of making a profit, assuming that the probability of breaking even will always be 0.2 b) Explain what action might be taken as a result of this analysis A project has three possible outcomes Probability 0.6 PP P B L Outcome Profit of 50,000 Profit of 0 Loss of 10,000 EV of project Expected value 30,000 0 (2,000) 28,000 EV 0.2 pb 0.2 pl What is the sensitivity of a decision to undertake this project, in respect of i) the 50,000 profit estimate ii) the 10,000 loss estimate ii) the estimated probability of making a profit, assuming that the probability of breaking even will always be 0.2 b) Explain what action might be taken as a result of this analysis