Sensitivity Analysis Helps You Determine The

question 11

Multiple Choice

Sensitivity analysis helps you determine the:

• A) range of possible outcomes given possible ranges for every variable.
• B) degree to which the net present value reacts to changes in a single variable.
• C) net present value given the best and the worst possible situations.
• D) degree to which a project is reliant upon the fixed costs.
• E) level of variable costs in relation to the fixed costs of a project.

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Definitions:

Objective Standards

Criteria or benchmarks that are based on measurable and unbiased facts or principles.

Social Standards

Norms and expectations about how people should behave in society, which guide individuals' actions and interactions.

Stereotype Threat

The risk of confirming negative stereotypes about an individual's racial, gender, or cultural group.

Anxiety

A state of unease, such as worry or fear, that can be mild or severe, often concerning an anticipated event or uncertainty about the future.