Sensitivity Analysis Provides Information On: I - Whether the NPV

question 69

Multiple Choice

Sensitivity analysis provides information on: I - whether the NPV should be trusted and may provide a false sense of security if all NPVs are positive.
II - the need for additional information as it tests each variable in isolation.
III - the degree of difficulty in changing multiple variables together.

• A)Only I
• B)Only II
• C)Only III
• D)Both I and II.
• E)Both I and III.

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Definitions:

Afraid

A feeling of fear or anxiety about a possible or likely situation or event.

Anxious

Feeling anxious or stressed, usually because of an upcoming event or something that has an unpredictable result.

James-Lange Theory

A theory of emotion that suggests emotions are the result of physiological reactions to events, where we feel emotion because of the interpretation of bodily reactions.

Hearts Race

An increase in heart rate, often due to exercise, stress, excitement, or anxiety.