Genevieve Has Developed a Computer Software Program That Analyzes Potential

question 192

Multiple Choice

Genevieve has developed a computer software program that analyzes potential project outcomes. The software randomly assigns a value to each of the variables, such as sales quantity and variable
Cost per unit, and generates the resulting net present value for the project. This process is repeated
Hundreds of times with each variable always being assigned a random value within a given range of
Possible values. The software then produces a graph depicting the net present values that were
Generated. By using this software, Genevieve is conducting _____ analysis.

• A) Sensitivity.
• B) Scenario.
• C) Simulation.
• D) Financial break-even.
• E) Cash break-even.

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Definitions:

Organizational Structure

The way in which an organization arranges its hierarchy, roles, and responsibilities to achieve its objectives.

Departments

Units or divisions within an organization, each handling specific tasks or functions.

Qualified Individuals

Persons who possess the necessary skills, experience, and credentials to perform a specific job or task.

Information Systems

Comprise the study and use of systems for storing, retrieving, and sending information, and often focus on computer technology within an organizational context.