Question: Hi, can you please help me with this question, I have been making so many mistakes and getting the wrong answers, Please explain this to


Hi, can you please help me with this question, I have been making so many mistakes and getting the wrong answers, Please explain this to me!
4. Sensitivity and scenario analysis Different techniques for analyzing project risk require different input variables and assumptions. one input variable at a time in the Suppose you are using the sensitivity analysis technique to evaluate project risk. You would change model to evaluate the effect of the input factors on the expected value. Han one input variable at a time er en Elle is a risk analyst. She is conducting a sensitivity analysis to evaluate the riskiness of a new proje several input variables together investing in. Her risk analysis report includes the sensitivity curve shown on the graph. Base Case NPV NPV (Millions of dollars) 20 15 Base Case Units Sold 10 5 0 5 10 15 CHANGES IN UNITS SOLD (Percent) 20 This curve implies that the project is very sensitive to changes in units sold. The project's NPV is likely to become negative if the number of units sold decreases by Along with the sen 50 analysis, Elle is including a scenario analysis for the project in her report, giving the probability of the project generating a nega 10% Her report includes the following information about the scenario analysis: Outcome Pessimistic Most likely Optimistic Data Collected NPV; Probability (P;) -$2.31 million 0.50 $4.53 million 0.35 $12.11 million 0.15 2 -1.0 -0.8 -0.6 -0.4 Probability Data for z 0.03 0.06 0.09 0.1515 0.1446 0.1379 0.2033 0.1949 0.1867 0.26430.2546 0.2451 0.3336 0.3228 0.3121 Complete the missing information in Elle's report: (Note: Round your answers to two decimal places.) million. The expected net present value of the project is Standard deviation of the net present value (the NPV of the project is likely to vary by) Assuming that probability distribution is normal, the value of z is Thus, the project has a chance to generate an NPV of less than $0
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