Which of the Following Is a Disadvantage of Using Simulation

question 12

Multiple Choice

Which of the following is a disadvantage of using simulation?

• A)Experimenting directly with a simulation model is often not feasible.
• B)Each simulation run provides only a sample of how the real system will operate.
• C)The simulation models are used to describe systems without requiring the assumptions that are required by mathematical models.
• D)Simulation models warn against poor decision strategies by projecting disastrous outcomes such as system failures, large financial losses, and so on.

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Definitions:

Sales On Account

Transactions where goods are sold or services are provided with an agreement that payment will be made at a later date.

Cost Of Goods Sold

The total expense directly related to the production or acquisition of the goods sold by a company.

Acid-Test Ratio

A liquidity ratio that measures a company's ability to pay off its current liabilities with quickly convertible assets.

Financial Statements

Records that provide an overview of a company's financial condition, including balance sheet, income statement, and cash flow statement.