cost sensitivity

This topic has 1 reply, 2 voices, and was last updated 8 years ago by John Moffat.

Viewing 2 posts - 1 through 2 (of 2 total)

Author

Posts
September 4, 2017 at 8:45 am #405274
Anonymous
Inactive
- Topics: 1
- Replies: 0
How do wee calculate cost sensitivity if taxes are in arrears?
September 4, 2017 at 11:59 am #405304
John Moffat
Keymaster
- Topics: 57
- Replies: 54859
You calculate the PV of whichever cost it is that you want the sensitivity for, and calculate the PV of the tax savings resulting from that cost.

The sensitivity is the NPV expressed as a % of the net of the two PV’s as calculated above.
Author

Posts

Viewing 2 posts - 1 through 2 (of 2 total)

The topic ‘cost sensitivity’ is closed to new replies.