Ultimately what does a forecast scenario consist of? Michael Estimated NPV based on projected cash flows Correct Fill in the blank: Scenario analysis is made up of several Correct Michael Scenarios Michael We have created various scenarios each with a forecast for our expected sales volume, revenues, expenses, risks, etc. At a high level, here are how each of the scenarios looks like. Calculate NPV for Scenario A. Use the information provided on the right. Round to the nearest whole number. Materials on the right have been updated >>> FA Scenario Comparison ($) Initial Investment Scenario A Scenario B Scenario C Expected interest rate: 12% Forecasting period: 5 years PV annuity factor: 3.6048 2,000,000 2,000,000 2,000,000 Annual Net Income 545, 100 426,995 1,644,385 Annual Cash Flow 679, 015 -493,005 2,564,385 NPV -3,777, 184 7,244,095

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