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Author Question: Which statement best describes sensitivity analysis? (Read 11 times)

heatherbabydoll1

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Which statement best describes sensitivity analysis?

Sensitivity analysis is a method for evaluating a project that uses a number of possible values for a given variable, such as cash inflows, to assess its impact on the firm’s return in simulation analysis.


Sensitivity analysis is a statistically based behavioural approach to project analysis that applies predetermined probability distributions in the scenario approach.


Straightforward sensitivity analysis, as it is generally employed, is incomplete in that it fails to consider the range of likely values for the key input variables and the probabilities of different input values.


Sensitivity analysis is a type of risk analysis that considers both the sensitivity of NPV to changes in key variables and the likely range of variable values.



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Marked as best answer by heatherbabydoll1 on Aug 7, 2023

xinyifff

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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heatherbabydoll1

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Reply 2 on: Aug 7, 2023
Gracias!


TheNamesImani

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Reply 3 on: Yesterday
Wow, this really help

 

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