Navigating Risks: Sensitivity Analysis in Project Evaluation

Join us as we explore the crucial role of sensitivity analysis in project evaluation, a vital tool that helps decision-makers pinpoint the variables that significantly affect a project's financial success. Using the Adventure Towers' Death Canyon ride as a case study, we break down how changes in capital costs, sales volume, and cost of capital influence overall viability. Discover how this method serves as a financial "stress test" and why understanding each variable's sensitivity is essential for making informed investment decisions. Tune in for insights that could shape your next big project!