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Quantify the range of possible costs by modeling the combined effect of uncertainties across all cost elements. Unlike sensitivity analysis (which varies one factor at a time), risk analysis uses Monte Carlo simulation or similar techniques to produce a probability distribution of total program cost, enabling the selection of a confidence level for budgeting.
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Bureauify. (2026). Conduct Risk and Uncertainty Analysis — Federal Contract Intelligence. Bureauify Federal Intelligence. Retrieved , from https://bureauify.com/glossary/conduct-risk-and-uncertainty-analysis
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