Question: Need help with these One-way sensitivity table questions. Thank you 25.The breakeven (NPW=$0) MARR of the project is 26.You are asked to perform a scenario

 Need help with these One-way sensitivity table questions. Thank you 25.Thebreakeven (NPW=$0) MARR of the project is 26.You are asked to perform

Need help with these One-way sensitivity table questions. Thank you

25.The breakeven (NPW=$0) MARR of the project is

26.You are asked to perform a scenario analysis instead of a sensitivity analysis. Assume that the values of the three scenarios (optimistic, most likely and pessimistic) are to be populated from the NPW dollar values of the sensitivity table which you completed above.The dollar value of the projects annual operating cost (AOC) for the pessimistic scenario would be a) 0; b) 310,000(1.15); c) 310,000; d) 310,000(0.85).

27.You are asked to perform a scenario analysis instead of a sensitivity analysis. Assume that the values of the three scenarios (optimistic, most likely and pessimistic) are to be populated from the NPW dollar values of the sensitivity table which you completed above. The projects MARR for the optimistic scenario would be a) 10%(0.85); b)10%; c) 10%(1.15).

28.You are asked to perform a scenario analysis instead of a sensitivity analysis. Assume that the values of the three scenarios (optimistic, most likely and pessimistic) are to be populated from the NPW dollar values of the sensitivity table which you completed above. The projects life (duration) for the pessimistic scenario would be a) 5(0.15)years; b) 5(0.85) years; c) 5 years; d) 5(1.15)years.

B. Problem Statement As the sole owner of a microbrewing company, you are contemplating the purchase of additional equipment to meet your company's brewing capacity Even though you have completed considerable research and analysis, you know your investment would not perform exactly as projected by the equipment vendor. Due to lingering uncertainty, an expert has been hired to perform a one- way sensitivity analysis of your potential equipment purchase. The current "best" guesses for the project parameters are: 1. Initial Cost (P) = $800,000 2. Salvage value (SV) = $97,988 3. Annual operating revenues (AOR) = $500,000 4. Annual operating costs (AOC) = $300,000 5. Economic life (N) = 5 years 6. MARR = 10% 7. Inflation Rate = 0%. One-way Sensitivity Table Net Present Worth (NPW) Parameters -15% -10% -5% +5% +10% +15% Reference Scenario P AA BB AOR EE DD CC AOC FF GG HH SV II KK N NN MM LL MARR 00 PP B. Problem Statement As the sole owner of a microbrewing company, you are contemplating the purchase of additional equipment to meet your company's brewing capacity Even though you have completed considerable research and analysis, you know your investment would not perform exactly as projected by the equipment vendor. Due to lingering uncertainty, an expert has been hired to perform a one- way sensitivity analysis of your potential equipment purchase. The current "best" guesses for the project parameters are: 1. Initial Cost (P) = $800,000 2. Salvage value (SV) = $97,988 3. Annual operating revenues (AOR) = $500,000 4. Annual operating costs (AOC) = $300,000 5. Economic life (N) = 5 years 6. MARR = 10% 7. Inflation Rate = 0%. One-way Sensitivity Table Net Present Worth (NPW) Parameters -15% -10% -5% +5% +10% +15% Reference Scenario P AA BB AOR EE DD CC AOC FF GG HH SV II KK N NN MM LL MARR 00 PP

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