The correct answer is: B. financial planning models.
Financial planning models are used to project future financial performance. They can be used to assess the impact of different decisions on the company’s financial position, such as the impact of a new product launch or a change in interest rates. Sensitivity analysis is a technique used to assess the impact of changes in one or more variables on the output of a model. It is often used in financial planning models to assess the risk associated with different decisions.
Investment planning models are used to assess the potential return on investment for a particular project. They can be used to compare different investment options and to determine the optimal level of investment. Cost planning models are used to estimate the costs associated with a particular project. They can be used to develop a budget for the project and to track actual costs against the budget. Revenue forecast models are used to predict future revenue. They can be used to assess the potential profitability of a particular project and to make decisions about pricing and marketing.
In conclusion, financial planning models are the most appropriate category for models that allow management to conduct sensitivity analysis.