Sensitivity Analysis on a Potential Project

question 68

Multiple Choice

Sensitivity analysis on a potential project

• A)is only useful to perform when there are firm calculations on the project available.
• B)is useful to perform when uncertainty exists and calculations are based on estimates.
• C)is designed to ensure that management is aware of all possible outcomes of the project.
• D)is designed to provide an escape-hatch for management should the project not succeed.