A firm’s managers realize they cannot monitor all aspects of their projects but do want to maintain a constant focus on the key aspect of each project in an attempt to maximize their firm’s value. Given this specific desire, which type of analysis should they require for each project and why? A) Sensitivity analysis; to identify the key variable that affects a project’s profitability.
B) Scenario analysis; to guarantee each project will be profitable.
C) Cash breakeven; to ensure the firm recoups its initial investment.
D) Accounting breakeven; to ensure each project earns its required rate of return.
E) Financial breakeven; to ensure each project has a positive NPV.

While cell phones with holographic keyboards are currently in the introduction stage of the industry life cycle, tablet computers are in the growth stage. in the context of this scenario, which of the following statements is true? a. the industry for cell phones with holographic keyboards will face greater competition than the tablet industry. b. while the industry for cell phones with holographic keyboards will focus more on product innovation, the tablet industry will focus more on process innovation. c. while the industry for cell phones with holographic keyboards can reap the benefits of economies of scale, the tablet industry will experience no such benefits. d. the industry for cell phones with holographic keyboards will face price competition, whereas, in the tablet industry, the mode of competition will be non-price.