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Sensitivity Analysis Is Primarily Designed to Determine The

Question 48

Multiple Choice

Sensitivity analysis is primarily designed to determine the:


A) range of possible outcomes given the expected ranges for every variable.
B) degree to which the net present value reacts to changes in a single variable.
C) net present value given the best and the worst possible expected situations.
D) degree to which a project relies on financial leverage.
E) best mix of fixed and variable costs for each project.

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