Which of the following is not used to deal with uncertainty in the capital budgeting process?
A) What-if analysis.
B) Sensitivity analysis.
C) Monte Carlo simulation.
D) Real options analysis.
E) Linear programming analysis.

Question

Quizplus · Accepted Answer

Linear programming analysis is not commonly used in the capital budgeting process to deal with uncertainty. The other options (A-D) are widely used techniques to handle uncertainty in capital budgeting.

Which of the Following Is Not Used to Deal with Uncertainty