What is the definition of scenario analysis?

Multiple Choice

• The name for a variety of methods that examine how an amount changes if factors involved in predicting that amount change.
• A special form of sensitivity analysis that is appropriate when the variables in a decision model are interrelated
• The minimum annual after-tax cash inflows needed for an investment project to be acceptable.
• A form of sensitivity analysis that combines the best- and worst-case scenario to analyze if a project will do well.
• Flexibilities and/or growth opportunities embedded in capital investment projects.