Question: Conduct a cash flow sensitivity analysis for LMN Corporation based on different sales scenarios. Use the following data: Sales Forecast Cash Inflows ($) Base Case


  1. Conduct a cash flow sensitivity analysis for LMN Corporation based on different sales scenarios. Use the following data:
Sales ForecastCash Inflows ($)
Base Case$100,000
Best Case$120,000
Worst Case$80,000

Requirements:

  • Calculate the projected cash inflows for each sales scenario.
  • Present the analysis in a detailed table format.
  • Discuss the impact of sales fluctuations on cash flow and liquidity.

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