Question

Which of the following statements is/are true regarding a simulation model? It makes decision-making easier. It explicitly incorporates uncertainty in one or more input variables. It does not require any best guesses. All of these statements are true.

Answer 1

Answer:

It explicitly incorporates uncertainty in one or more input variables.

Explanation:

In simulation analysis we perform 1000's of calculations assigning risk of uncertainty to multiple input variables, as with increased data set the variable tend to increase.

This technique is generally used, for project management and further, decision making in many streams.

Under this probability of different results in the form of outcomes are evaluated.

Therefore, the correct statement is b.