Sensitivity Analysis Is Useful Because

question 87

Multiple Choice

Sensitivity analysis is useful because:

• A)payoffs and probabilities are estimates.
• B)most decisions will affect employees.
• C)expected payoffs are sensitive to the time value of money.
• D)it is the second step in the decision model.
• E)with the passage of time, small decisions get bigger.

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Definitions:

Maslow's Work

Refers to Abraham Maslow's hierarchy of needs, a psychological theory that prioritizes human needs from the most basic physical ones to higher-level emotional and self-fulfillment needs.

Human Needs

Fundamental requirements that motivate human behavior, including physiological, safety, love/belonging, esteem, and self-actualization needs.

Human Relations Approach

A management perspective that emphasizes the importance of understanding human motivations, needs, and relationships in the workplace.

Organisational Behaviour

A field of study that investigates how individuals, groups, and structure affect and are affected by behavior within organizations, aiming to apply such knowledge toward improving an organization's effectiveness.