Which of the following statements regarding retirement analysis is correct? Select one.

Question 2 options:

a. Performing a Monte Carlo analysis will eliminate the risks associated with retirement planning.

b. Small inaccuracies in the earnings rate or inflation rate will not have much impact over a long period of time.

c. Sensitivity analysis consists of rotating each variable assumption toward the undesirable side of the risk to determine the negative impact a small change will have on the overall plan.

d. A Monte Carlo analysis calculates three scenarios: a best case, an expected case, and a worst-case basis.