Different techniques of project risk analysis involve different input variables and assumptions. Suppose you are using the sensitivity analysis technique to evaluate project risk. You would change in the model to evaluate the effect of the input factors on the expected value. Elle is a risk analyst. She is conducting a sensitivity analysis to evaluate the riskiness of a new project that her company is considering investing in. Her risk analysis report includes the sensitivity curve shown on the graph. NPV (Millions of dollars Base Case NPV Base Case 12 15 COST OF CAPITAL (Percent) This curve implies that the project is not very sensitive to changes in cost of capital. The project's NPV is likely to if the cost of capital increases to 15%