Forecasting Risk Is Defined as The

Multiple Choice

Forecasting risk is defined as the:

A) Potential for the net income projections of a project to be erroneous.
B) Investigation of what happens to net present value when one estimated value is changed.
C) Possibility that errors in projected cash flows will result in incorrect decisions.
D) Study of how changes in variable costs affect the net present value of a project.
E) Analysis of how the break-even point moves as the contribution margin changes over time.