Question: Sensitivity Analysis [LO1] Consider a four-year project with the following. information: initial fixed asset investment = $490,000; straight-line depreciation to zero over the four-year life;

Sensitivity Analysis [LO1] Consider a four-year project with the following. information: initial fixed asset investment = $490,000; straight-line depreciation to zero over the four-year life; zero salvage value; price = $32; variable costs = $19; fixed costs = $210,000; quantity sold = 110,000 units; tax rate = 34 percent. How sensitive is OCF to changes in quantity sold

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