Scenario Analysis is a procedure of incorporating alternative outcomes in the modelling of operational or financial forecasts. When incorporating scenario analysis into a model, analysts accommodate several possible occurrences to make the model more robust because of the dynamic nature of real life. In business valuation analysis, valuators apply scenario analysis to forecast benefits streams under alternate scenarios to reflect possible trends and deviations in operational and financial performance targets. To arrive at the economic benefit streams or forecast, the sum of various possible cases of operational and financial results are relied on to derive the fair market value. Even though the cash flows from scenario analysis will differ from the standard cash flows without scenario analysis, scenario analysis is more representative of real-life situations and, as a result, are more preferable and recommended. Business valuation analysts, quite often, combine scenario analysis with probability analysis to model the dynamic nature of economic benefit streams of businesses.