![]() Quantitative risk analysis is a numerical procedure for estimating the risk of any project by numeric resources. On the other hand, risk is defined as the probability of occurrence of an undesirable outcome. The method provides a distribution of simulated outcomes from which charts and summary statistics can be easily obtained. We build a mathematical model of the problem under study and estimate its outcomes through repeated sampling. In the previous article of this series, we defined a Monte Carlo Simulation (MCS) as “a sampling experiment whose aim is to estimate the distribution of a quantity of interest that depends on one or more stochastic input variables”.
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