Using the Excel Financial Forecast worksheet from Assignment #1, determine the sensitivity of the model by adjusting the values of growth rate in sales and cost of goods sold/net sales. Increase and decreases the % values for 2016 and observe and record the results. Create an Excel chart for each (growth rate in sales and cost of goods sold/net sales) and explain the resulting impact on external funding required.

o For example: Change growth in sales from 70% to 95% by 5% increments, recording, and charting the resulting change in external funding required. Chart this data and provide justification.

Facts and Assumptions
Year	2015	2016
Net sales	$20,613
Growth rate in sales		35%
Cost of goods sold/net sales		86%
Gen., sell,, and admin. expenses/net sales		12%
Long-term debt	$ 760	$ 660
Current portion long-term debt	$ 100	$ 100
Interest rate		10%
Tax rate		45%
Dividend/earnings after tax		50%
Current assets/net sales		29%
Net fixed assets		$ 280
Current liabilities/net sales		14.5%
Owners' equity	$ 1,730
INCOME STATEMENT
Year	2015	2016
Net sales		$27,828
Cost of good sold		23,932
Gross profit		3,896
Gen., sell,, and admin. exp.		3,339
Interest expense		231
Earnings before tax		285
Tax		128
Earnings after tax		156
Dividends paid		78
Additions to retained earnings		78
BALANCE SHEET
Current assets		$ 8,070
Net fixed assets		280
Total assets		8,350
Current liabilities		4,035
Long-term debt		660
Equity		1,808
Total liabilities and shareholders' equity		6,204
EXTERNAL FUNDING REQUIRED		$ 1,548