Question: TRUE or FALSE. Indicate if the statement is True or False, and then explain ( do not simply rewrite the statement ) . Suppose we

TRUE or FALSE. Indicate if the statement is True or False, and then explain

(

do not simply rewrite the statement

) .

Suppose we compare the difference between the NPV of a financial model in which the means are entered for all input random variables and the NPV of a financial model in which all the input random variables are fitted with appropriate probability distributions. If we see a large difference between the NPVs

,

this illustrates the effect of randomness.

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