Why is it important to understand the difference between RBI accuracy and RBI precision?

According to Section 5.4 of API 580:

“Risk presented as a precise numeric value (as in a quantitative analysis) implies a greater level of accuracy… However, the implied linkage of precision and accuracy may not exist because of the element of uncertainty that is inherent with probabilities and consequences.”

This clearly supports that Option D is correct. While quantitative methods appear precise, their accuracy may be affected by model limitations, uncertainty, and data variability. Therefore, understanding this distinction helps practitioners avoid overconfidence in the output of RBI tools.