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so today were gonna look at sensitivity analysis in Microsoft Excel this is Microsoft Excel 2016 in a business scenario where we want to look at different combinations so sensitivity analysis is basically a type of analysis where you look at different combinations of assumptions and you examine the result so here were going to look at different number a different number of units sold and different price points to look at the profit at these different combinations so I set up a very simple financial model we have assumptions lets assume this is a chair store we are selling a thousand chairs a year one hundred and fifty dollars a chair and our cost per chair is is fifty dollars and our fixed costs which are our store rent and our payroll are right here and so if you look at our income statement or profit and loss we have our revenue our cost our cost of sales we have our gross profit fixed cost and our operating profit so I want to analyze our operating pr