A small local bank failed because a housing market collapse following the departure of the area's largest employer. What type of risk applies to the failure of the institution?

Simulation models are designed to generate optimal solutions, which can then be applied to real-world situations

Indicate whether the statement is true or false

Which of the following would not be considered a limitation of simulation modeling?

A) Models are typically unstructured. B) Validation of simulation models can be difficult. C) The cost of building simulation can be prohibitive. D) Simulation allows flexibility in analyzing systems.