Current Attempt in ProgressAll of the following are disadvantages for using simulation in risk analysis, exceptооооSimulations can be quite time-consuming to formulate.Simulations can be used when analytical solutions are difficult to obtain.Simulations introduce a source of randomness not present in analytical solutions (sampling error).Simulations are so easily applied that they are often used when analytical solutions can be more easily obtained atconsiderably less cost.

Simulation is known to provide a risk analysis by finding out all the uncertainties and also…

All of the following are disadvantages for using simulation in risk analysis, except O Simulations can be quite time-consuming to formulate. O Simulations can be used when analytical solutions are difficult to obtain. O Simulations introduce a source of randomness not present in analytical solutions (sampling error). O Simulations are so easily applied that they are often used when analytical solutions can be more easily obtained at considerably less cost.

All of the following are disadvantages for using simulation in risk analysis, except O Simulations can be quite time-consuming to formulate. O Simulations can be used when analytical solutions are difficult to obtain. O Simulations introduce a source of randomness not present in analytical solutions (sampling error). O Simulations are so easily applied that they are often used when analytical solutions can be more easily obtained at considerably less cost.

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter20: The Problem Of Adverse Selection Moral Hazard

Section: Chapter Questions

Problem 3MC

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