Question: Most analysts follow up a project analysis by asking what - if questions, where they assess the impact of changing assumptions and examining the effect
Most analysts follow up a project analysis by asking whatif questions, where they assess the impact of changing assumptions and examining the effect on the bottom line NPV IRR, etc. If you decide to do this, how should you approach the sensitivity analysis and how would you use it
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Ask whatif questions about key inputs into the analysis and use it to determine how to manage a project better or increase its value.
Ask whatif questions about every input into the analysis and reject the project, if any of the scenarios yields a bad outcome negative NPV
Ask whatif questions about every input into the analysis and use it to generate a range of values for the decision variable NPV
Ask whatif questions about key inputs into the analysis and reject the project, if any of the scenarios yields a bad outcome negative NPV
Ask whatif questions about key inputs into the analysis and use it to generate a range of values for the decision variable NPV
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