Astroscope Tours Finds That If It Were to Increase Its

question 8

Multiple Choice

Astroscope Tours finds that if it were to increase its price by 10 percent, it would have a 6 percent reduction in the NPV of its new 3-Hour Tour. Considering other things to be unchanged, Astroscope's analysis could be described as:

• A) Monte Carlo simulation.
• B) break-even analysis.
• C) sensitivity analysis.
• D) variance analysis.

---

Definitions:

Measure

To ascertain the size, amount, or degree of something typically with the use of instruments or tools designed for such purposes.

Acculturate

To adapt to or acquire the cultural traits or social patterns of another group.

Reside

To live, dwell, or inhabit a particular place or environment.

Regional Segmentation

A marketing strategy that divides the market into different geographical units such as countries, cities, or neighborhoods for targeted marketing.