An analysis of what happens to the estimate of the net present value when you consider the best case and the worst case situations is called _____ analysis.

A) Forecasting.
B) Scenario.
C) Sensitivity.
D) Simulation.
E) Break-even.

Question

Mason Orndorff · Accepted Answer

Final Answer : B, Explanation :  Scenario analysis involves examining the potential outcomes of different scenarios, including best case and worst case situations, on the estimate of the net present value or other financial metrics.

An analysis of what happens to the estimate of the net present value when you consider the best case and the worst case situations is called _____ analysis.

A) Forecasting.
B) Scenario.
C) Sensitivity.
D) Simulation.
E) Break-even.

Definitions

Learning Objectives

Learning Objectives

Related questions

An analysis of what happens to the estimate of the net present value when you consider the best case and the worst case situations is called _____ analysis.A) Forecasting.B) Scenario.C) Sensitivity.D) Simulation.E) Break-even.

Definitions

Learning Objectives

Learning Objectives

Related questions

An analysis of what happens to the estimate of the net present value when you consider the best case and the worst case situations is called _____ analysis.

A) Forecasting.
B) Scenario.
C) Sensitivity.
D) Simulation.
E) Break-even.