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IIBA CBAP Exam - Topic 3 Question 19 Discussion

Posted by Thaddeus on May 03, 2022 at 09:32 PM

A business analyst (BA) is assessing tie different solution proposals. What type of financial calculation would the BA use to determine which solution is worth investing in based on its breakeven point?

Suggested Answer: B

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18 comments · newest first
OL
Olen 11 months ago
Not sure about that, I thought discount rate was key in these calculations.
MA
Marget 11 months ago
Wait, isn't the internal rate of return also important for breakeven?
DI
Diane 12 months ago
Definitely net present value! It's the standard for this kind of analysis.
JU
Julio 12 months ago
I think return on investment is more relevant here.
DE
Detra 12 months ago
The breakeven point is best assessed using net present value.
FL
Florinda 1 year ago
I agree, NPV is key for investment decisions!
AR
Arlen 1 year ago
Wait, can you really use NPV for breakeven analysis? Sounds off.
TA
Tawna 1 year ago
Definitely net present value! It considers time value of money.
MI
Mila 1 year ago
I think return on investment is more relevant here.
AD
Adela 1 year ago
The breakeven point is best assessed with net present value.
DO
Dominga 1 year ago
I recall that the discount rate is important for future cash flows, but I don't think it directly helps with finding the breakeven point.
AR
Armando 1 year ago
I'm not entirely sure, but I remember something about Net Present Value being used to evaluate investment proposals.
NO
Noel 1 year ago
I think the breakeven point is related to how much revenue we need to cover costs, so maybe it's about Return on Investment?
JE
Jennie 1 year ago
I practiced a question like this, and I feel like the Internal Rate of Return might be relevant, but it doesn't seem to directly address breakeven.
EL
Elizabeth 1 year ago
Hmm, I'm a little unsure about this one. I know integrity has to do with the accuracy and completeness of information, but I'm not totally sure how that applies to these specific examples.
VI
Viola 1 year ago
Hmm, this looks like a tricky one. I'll need to carefully analyze the diagram and the question to make sure I understand the scenario before selecting an answer.
DA
Danica 1 year ago
This looks like a standard variance analysis question. I'll need to carefully review the information provided and think through the criteria for deferring a planned volume variance.
AN
Antione 1 year ago
Hmm, this seems like a tricky one. I'll need to think through the different authentication options carefully.
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