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Future Pharmaceuticals Believes That Changes in Health Insurance May Increase

Question 33

Multiple Choice

Future Pharmaceuticals believes that changes in health insurance may increase demand by as much as 10%, but also lower prices by as much as 10%.It is also concerned that the cost of materials may increase as much as 10% and the company may or may not be able to pass these higher costs on to its customers.To estimate expected, best case and worst case results, Future should use [blank].


A) sensitivity analysis
B) scenario analysis
C) political risk analysis
D) probability analysis

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