Suppose You Are Asked to Do a Sensitivity Analysis of a Project

Multiple Choice

Suppose you are asked to do a sensitivity analysis of a project when an economy is in recession, what assumptions do you need to make to evaluate the project?

A) Market share is low, variable costs are high, product price is high.
B) Market share is low, fixed costs are high, product price is low.
C) Market share is high, variable costs are high, product price is low.
D) Market share is low, variable costs are high, product price is low.
E) Market share is low, variable costs are low, product price is low.