Which type of real option allows the output and/or inputs in the production process to be altered, depending on how market conditions change during a project’s life? a. flexibility option b. timing option c. abandonment option

Increases in output and increases in the inflation rate have been linked to

If an investment has 35 percent more nondiversifiable risk than the market portfolio, its beta will be:

Suppose that a paving company produces paved parking spaces (q) using a fixed quantity of land (t) and variable quantities of cement (c) and labor (l). the firm is currently paving 1,000 parking spaces. the firm's cost of cement is $3 comma 600.003,600.00 per acre covered (c) and its cost of labor is $35.0035.00/hour (w). for the quantities of c and l that the firm has chosen, mp subscript upper c baseline equals 60mpc=60 and mp subscript upper l baseline equals 7mpl=7. is this firm minimizing its cost of producing parking spaces?