All of the following techniques are used to measure total project risk EXCEPT _____.
A) simulation analysis
B) the profitability index
C) the certainty equivalent approach
D) the risk-adjusted discount rate

Question

Quizplus · Accepted Answer

The profitability index is a measure of project profitability and does not directly measure total project risk. The other options (simulation analysis, certainty equivalent approach, and risk-adjusted discount rate) all measure project risk in some way.

All of the Following Techniques Are Used to Measure Total