Which of the Following Is True of the Comparison Between

Multiple Choice

Which of the following is true of the comparison between simulation and regression?

A) The simulation method requires much more judgement on the part of the analyst than regression.
B) The simulation method requires that the past history of the firm provide the best estimate of the future than regression.
C) The simulation method is inferior to regression estimation using historical data.
D) The simulation method is a backward-looking method of estimating risk exposure,whereas regression method is forward-looking.