________ is a risk analysis technique in which the best- and worst-case net present values are compared with the project's expected net present value.
A)Project standing alone risk
B)Decision tree analysis
C)Scenario analysis
D)Real Options

Question

Quizplus · Accepted Answer

Scenario analysis involves analyzing the potential outcomes of a project under different scenarios or conditions. This technique is useful in assessing the risks associated with a project and determining the best course of action. By comparing the best-case and worst-case scenarios with the expected value, managers can make informed decisions about how to proceed. This approach provides a more comprehensive picture of the potential outcomes of a project and helps to identify ways to mitigate risks or capitalize on opportunities.

________ Is a Risk Analysis Technique in Which the Best-