Question

Which of the following statements are true? A) Sensitivity analysis is a process of seeing how optimal decision and EMV vary when one or more inputs vary. B) None of these choices is true. C) All of these choices are true. D) Contingency plan is a strategy in a multistage decision problem that specifies which decision to make for each possible outcome. E) Multistage decision problem is one where decisions and observations of uncertain outcomes alternate.

Answer 1

Answer: C) All of these choices are true.

Explanation:

Sensitivity analysis is a process of seeing how optimal decision and EMV vary when one or more inputs vary.

Sensitivity analysis finds out how various values of an self-reliant variable affect a particular dependent variable under a set of postulate.

This is used within particular extremity that depend on one or more input variables.

Contingency plan is a strategy in a multistage decision problem that specifies which decision to make for each possible outcome.

A contingency plan is a class of action fashioned to help an administration respond effectively to a important future event or status that may or may not happen.

Multistage decision problem is one where decisions and observations of uncertain outcomes alternate.