Sensitivity Analysis - External Purchase Cost Formula
Equation for calculate sensitivity analysis - external purchase cost is,
Sensitivity Analysis (S) = (E -(B + C)) - (D - A)
Sensitivity Analysis % = (S / C)
D = Ultimate Selling Price for Made in House Products
A = Cost of Made in House Products
B = Cost of Buy in Re-badge Product
C = External Purchase Cost for Buy in Re-badge Product
E = Ultimate Selling Price for Buy in Re-badge Product