Question: Explain fully how to find the values for Net Income, Cash Flow and NPV for the Base case, Worst case and Best case. If
Explain fully how to find the values for Net Income, Cash Flow and NPV for the Base case, Worst case and Best case.
| If variable cost increase by 10% | 20 |
| or increase by $2 | 1.1 |
| Now variable cost | 22![]() |
Now variable cost
Unit sales Price per unit VC per unit Fixed cost Sales Variable costs Fixed costs Depreciation EBIT Taxes NI Base Case Base Case 6000 80 62 50000 480,000.00 360,000.00 50000 40,000.00 30,000.00 10,200.00 19,800.00 Optimistic Optimistic 6500 85 60 45000 552,500.00 377,000.00 45000 40,000.00 90,500.00 30,770.00 59,730.00 Pessimistic Pessimistic 5500 75 64 55000 412,500.00 341,000.00 55000 40,000.00 23,500.00 7,990.00 15,510.00
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