The phrase in real option theory used to replace the strike price?
A) Exercise
B) Investment
C) PV of asset
D) Trend

Name: The phrase in real option theory used to replace the strike price? A) Exercise B) Investment C) PV of asset D) Trend
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Question

Quizplus · Accepted Answer

In real option theory, the term "investment" is used to replace the "strike price" as it represents the cost required to undertake the investment opportunity.

The Phrase in Real Option Theory Used to Replace the Strike