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As the Degree of Sensitivity of a Project to a Single

Question 42

Multiple Choice

As the degree of sensitivity of a project to a single variable rises, the:


A) less important the variable is to the final outcome of the project.
B) less volatile the project's net present value is to that variable.
C) greater is the importance of accurately predicting the value of that variable.
D) greater is the sensitivity of the project to the other variable inputs.
E) less volatile is the project's outcome.

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