FM BPP question

Which of the following statements is true?
A.The sensitivity of NPV to a change in sales volume can be calculated as NPV divided by the present value of future sales income.

B.The certainty equivalent approach converts risky cash flows into riskless equivalent amounts which are discounted by a capital asset pricing model (CAPM) derived project-specific cost of capital.

C.Using random numbers to generate possible values of project variables, a simulation model can generate a standard deviation of expected project outcomes.

D.The problem with risk and uncertainty in investment appraisal is that neither can be quantified or measured. (2 marks)

Hi tutor?Could you please explain the choice C?