One characteristic of scenario analysis is that:
A)it allows only one variable at a time to change.
B)it limits variation to only three of the more likely variable combinations.
C)all or nearly all variations are analyzed, regardless of likelihood.
D)managers generate each variation by hand.

Question

Quizplus · Accepted Answer

Scenario analysis takes into account all or nearly all variations, regardless of how likely they are. This helps managers prepare for a wide range of possibilities and potential outcomes, rather than just focusing on the most likely scenarios. It also allows for more comprehensive planning and risk assessment.

One Characteristic of Scenario Analysis Is That