Sensitivity Analysis

Following are the data regarding a project. Compute and interpret sensitivity analysis of
various variables on the performance of the project.
Expected Variation
Expected Sales 10,000 units/year 10 %
Selling price Rs 600 per unit 5%
Variable cost Rs 4,000,000 6%
Fixed cost 500,000 10 %
Tax rate 30 %
Cost of project Rs 4000,000 5%
Project life 8 years
Expected rate of return 15 %
Depreciation (SLM) 10 %
Salvage Value Rs 800,000