An Analysis in Which Each of the Inputs and Assumptions

question 55

Multiple Choice

An analysis in which each of the inputs and assumptions for a project takes on a separate assumed distribution whereby a computer draws on each of those input and assumption distributions to create a distribution for the NPV of the entire project is called

• A) a sensitivity analysis.
• B) a scenario analysis.
• C) a simulation analysis.
• D) none of the above.

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Definitions:

Guilt

A psychological state that arises from the perception of having done something wrong or having failed to do something right.

Defendant

An individual, company, or institution sued or accused in a court of law.

Confounding Variable

A variable that is not controlled in a research investigation. In an experiment the experimental groups diĉer onboth the independent variable andthe confounding variable.

Internal Validity

Refers to how well an experiment is conducted and whether it measures what it's supposed to measure, without being confounded by other factors.