What are the primary advantages and disadvantages of applying simulation to capital budgeting risk analysis? Computer simulation is used to generate a large number of possible outcomes for an investment project. Most firms invest in a particular project only once, however. How can a computer simulation model be helpful to the typical decision maker who is making a one-time-only investment decision?
What are the primary advantages and disadvantages of applying simulation to capital budgeting risk analysis?
Computer simulation is used to generate a large number of possible outcomes for an investment project. Most firms invest in a particular project only once, however. How can a computer simulation model be helpful to the typical decision maker who is making a one-time-only investment decision?
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