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What Is the First Step in a Monte Carlo Analysis

Question 30

Multiple Choice

What is the first step in a Monte Carlo analysis?


A) Determine the probability distribution of each variable. 
B) For each variable, such as the time estimate for a task, select a random value based on the probability distribution for the occurrence of the variable. 
C) Assess the range for the variables being considered. 
D) Run a deterministic analysis or one pass through the model using the combination of values selected for each one of the variables.

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