Since real options provide flexibility that can greatly change the value of a project, it should be considered in capital budgeting methodology.

Name: Since real options provide flexibility that can greatly change the value of a project, it should be considered in capital budgeting methodology.
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Question

Quizplus · Accepted Answer

Real options analysis helps in evaluating the value of flexibility in decision making, which can enhance the value of a project. Hence, it should be considered in capital budgeting methodology.

Since Real Options Provide Flexibility That Can Greatly Change the Value