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Sensitivity Analysis Is a "What-If" Technique That Managers Use to Examine

question 161

True/False

Sensitivity analysis is a "what-if" technique that managers use to examine how a result will change if the originally predicted data are NOT achieved or if an underlying assumption changes.


Definitions:

Shareholder Relations

Activities and policies used by a corporation to communicate, engage, and manage its relationship with its shareholders.

Chief Financial Officer

A senior executive responsible for managing the financial actions of a company, including financial planning and record-keeping.

Controller

A senior financial officer responsible for overseeing the accounting functions, financial reporting, and often budgetary planning within an organization.

Chief Financial Officer

A senior executive responsible for managing the financial actions of a company, including financial planning, risk management, and record-keeping.

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