Documents Chapter 13 real options - student version

1. Options 2. Real Options • Managers have options to adapt and revise decisions. • Flexibility is valuable. • Value of flexibility should be accounted for. 3. Real…

Economy & Finance 4 the basic of capital budgeting

1. The Basics of Capital Budgeting 12-1 Should we build this plant? 2.  Analysis of potential additions to fixed assets.  Long-term decisions; involve large expenditures.…