In a Simulation Analysis, a Model Is Simulated on a Computer

question 60

Multiple Choice

In a simulation analysis, a model is simulated on a computer program and run through several iterations. The results of these iterations are used to _____.

• A) plot a required rate of return value profile
• B) compute a mean and a standard deviation of returns
• C) provide the decision maker with a measure of beta risk
• D) plot the coefficient of variation of the annual net cash flows

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Definitions:

United States

A federal republic in North America comprising 50 states, a federal district, and various territories, characterized by its large size, diverse population, and significant global influence.

Managed Care Plans

Health insurance plans that contract with health care providers and medical facilities to provide care for members at reduced costs.

1994

A year notable for various global events, but in this context, it lacks specificity without further detail regarding its relevance.

Spending

The act of using money to purchase goods or services.