
Engineering Economics of RFID 203
From Figure 16.5, it can be seen that the factors that account for most of the variability between
the two scenarios are yearly costs. The minimum difference of PW between the two scenarios is
obtained when the number of periods is set to its lower limit.
To summarize the relative sensitivities of each variable, a tornado diagram (Figure 16.6) was
then created with this propose. This diagram shows the variability accounted for each factor in
descending order. From this chart can be seen the inuence of each variable on the present worth.
From the above sensitivity analysis, this study shows that even with var ...