Steve is fairly cautious when analyzing a new project and thus he projects the most optimistic,the most realistic,and the most pessimistic outcome that can reasonably be expected.Which type of analysis is Steve using?
A)simulation testing
B)sensitivity analysis
C)break-even analysis
D)rationing analysis
E)scenario analysis

Question

Quizplus · Accepted Answer

Steve is using scenario analysis, in which he looks at multiple possible outcomes for a project based on different scenarios or situations. He is projecting the most optimistic, most realistic, and most pessimistic outcomes, which are different scenarios that could play out for the project.

Steve Is Fairly Cautious When Analyzing a New Project and Thus