Monte Carlo Method

Assignment Preparation: Activities include completing the SkillSoft® courses, watching the Lynda.com® videos, independent student reading, and research.

• Complete the Skillsoft^® course, “Basic Statistics and Graphical Methods for Six Sigma.”
• Complete the Skillsoft^® course, “Risk Management: Assessing Risk.”
• Watch the Lynda.com video, “Up and Running with Excel What-If Analysis.”
• Watch the Lynda.com video, “What do you need to know to be an analytics professional?”
• Watch “Performing Monte Carlo Simulation” of the Lynda.com “Up and Running with Excel What-If Analysis,” video.

Assignment:

Recreate the simulation presented in the “Performing Monte Carlo Simulation” video.

Submit the Microsoft^® Excel^® spreadsheet along with a 1- to 2-page explanation on how the Monte Carlo tool can be used in risk assessment.