Important Notice: Our web hosting provider recently started charging us for additional visits, which was unexpected. In response, we're seeking donations. Depending on the situation, we may explore different monetization options for our Community and Expert Contributors. It's crucial to provide more returns for their expertise and offer more Expert Validated Answers or AI Validated Answers. Learn more about our hosting issue here.

What is a scenario analysis?

April 26, 2017analysis scenario

0

Posted

What is a scenario analysis?

1 Answer

0

Posted

Scenario analysis is a measure that utilized for the evaluation of the combined effect of different variables (scenarios). Since the variables involved in an investment are interrelated, there are alters in combination. So, the scenario analysis assists in analyzing the risk associated with different scenarios. It assists the decision makers regarding the consideration of different scenarios and their significance in decision making.