What are options models and when should they be used to evaluate projects? Provide an example
What will be an ideal response?
Options models open financial analysis to consider a greater range of alternatives to immediate investment. Organizations can factor the benefit of postponing decisions (and projects) until financial models indicate projects are worth pursuing. Examples may vary, but suppose firm A can wait until more market research is performed or until a supplier solves quality and logistics issues. The cash flows may be superior to those that would come from immediate investment if company A had to suffer through those issues with their supplier. Because company A can wait a year, the project scores better on the NPV calculations, clearing the company's predetermined financial hurdle and will just have to wait to begin rather than being counted as too great a financial risk.
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Compare and contrast the exploratory, descriptive, and causal research designs
What will be an ideal response?
Type I error occurs when the sample results lead to the rejection of a null hypothesis that is in fact true
Indicate whether the statement is true or false
Which of the following product offerings is intangible?
A) fish for an aquarium B) refillable ink cartridges for a computer printer C) a mink coat D) a meal at a fast-food restaurant E) a limousine ride
The founder of Habitat for Humanity found it difficult to turn management of the nonprofit over to a new chief executive officer. The founder was demonstrating ______ syndrome.
A. fear B. change C. founder D. reluctance