(LO 9-2; 9-3; 9-5; 9-6) Match the prescriptive analytics term to its definition. Prescriptive Analytics Term Make-or-buy...

(LO 9-2; 9-3; 9-5; 9-6) Match the prescriptive analytics term to its definition.

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Prescriptive Analytics Term Make-or-buy analysis Scenario analysis Marginal analysis Sensitivity analysis Capital budgeting Prescriptive Analytics Definition Evaluating the outcomes based on uncertainty regarding the inputs. A technique used to analyze and address the question of whether to manufacture a product in house or to purchase it (or outsource it externally). Analysis of potential future events by considering potential outcomes. The process a company uses to evaluate potential, typically large investments. Technique used in management accounting (and in economics) to determine the change in profit associated typically with the cost or benefit of the next (or the marginal) unit.