I am doing Sensitivity analysis of a Company. Am I suppossed to keep other Factors Constant while decreasing or increasing 1 Factor, Say if I am Decreasing Cost Price of Materials Purchased, should I Keep the Sale Price Constant or Change it
deepak (Job) (381 Points)
24 February 2014I am doing Sensitivity analysis of a Company. Am I suppossed to keep other Factors Constant while decreasing or increasing 1 Factor, Say if I am Decreasing Cost Price of Materials Purchased, should I Keep the Sale Price Constant or Change it
Rehaan
( CA Final)
(59 Points)
Replied 24 February 2014
Yes. you have to keep one constant. Else you won't get a correct picture...
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