American_Bankers_Association
CTFA · Question #298
In an NPV sensitivity graph, a steep sensitivity line for a particular input variable means that a in that variable results in a in NPV.
The correct answer is A. Small percentage change; large change. See the full explanation below for the reasoning.
Investment Management
Question
In an NPV sensitivity graph, a steep sensitivity line for a particular input variable means that a in that variable results in a in NPV.
Options
- ASmall percentage change; large change
- BLarge percentage change; small change
- CLarge percentage change; large change
- DSmall percentage change; small change
How the community answered
(56 responses)- A77% (43)
- B7% (4)
- C4% (2)
- D13% (7)
Topics
#sensitivity analysis#NPV sensitivity graph#input variables#risk analysis
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