Sensitivity study is a technique in which key variables are


Which of the following statements is (are) the most correct?

A. Sensitivity study is a technique in which key variables are changed one at a time.

B. Scenario study is a technique in which “bad” and “good” sets of financial circumstances are compared with a most likely situation.

C. Monte Carlo Simulation is a technique in which probable future events are simulated on a computer.

D. Breakeven is a technique to determine the level of sales at which a project would just break even.

E. All the above are correct.

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Financial Management: Sensitivity study is a technique in which key variables are
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