An Exploration of the Effect of Changing Multiple Project Parameters

question 55

Multiple Choice

An exploration of the effect of changing multiple project parameters on net present value (NPV) is called ________.

• A) scenario analysis
• B) internal rate of return (IRR) analysis
• C) accounting break-even analysis
• D) sensitivity analysis

---

Definitions:

Unpredictable

Lacking consistency or regularity, making outcomes or future events difficult to anticipate or forecast.

Aversive Stimuli

Stimuli that an organism seeks to avoid due to their unpleasant nature, often used in conditioning and behavioral studies.

Respondent Behavior

Behavior that occurs as an automatic response to a specific stimulus, often without conscious intention, as studied in classical conditioning.

Operant Behavior

Behavior that is controlled by its consequences, including rewards and punishments, in the context of operant conditioning.