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Which of the following is not true? The forecasting risk, or the possibility that we could make bad decisions because of erroneous projection in future
Which of the following is not true? The forecasting risk, or the possibility that we could make bad decisions because of erroneous projection in future cash flows, cannot be addressed by just using the simple NPV analysis that does not consider different scenarios that may occur. Generally, a sensitivity analysis involves changing of one variable and how that affects the project's viability (e.g. profitability, NPV, etc.). None of the above all of the above are correct) The scenario analysis allows us to predict how (un)profitable a project will be under various changes of circumstances
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