Consideración de La Flexibilidad en El Análisis (Opciones Reales Introducing Flexibility in the Analysis: Real Options)

62 Pages Posted: 16 May 2007 Last revised: 31 Jul 2012

Guillermo L. Dumrauf

University of CEMA

Ignacio Velez-Pareja

Grupo Consultor CAV Capital Advisory & Valuation

Date Written: October 20, 2003

Abstract

This is a course material from the book Managerial Decision Making Under Risk and Uncertainty. The book is originally in Spanish and is untitled as Decisiones empresariales bajo riesgo e incertidumbre. The level of the book is basic. We use very few mathematics and it is expected to be used by managers.

In this tenth and last chapter we present a brief and simple introduction to financial options and the Black-Scholes model. Using the basic concept of options we introduce the reader to the idea of real options to profit from flexibility and variability and volatility.

Notes: Downloadable document is in Spanish.

Keywords: Options, real options, Black-Scholes model, NPV, Net Present Value

JEL Classification: G31

Suggested Citation

L. Dumrauf, Guillermo and Velez-Pareja, Ignacio, Consideración de La Flexibilidad en El Análisis (Opciones Reales Introducing Flexibility in the Analysis: Real Options) (October 20, 2003). Available at SSRN: https://ssrn.com/abstract=986980 or http://dx.doi.org/10.2139/ssrn.986980

Guillermo L. Dumrauf (Contact Author)

University of CEMA ( email )

1054 Buenos Aires
Argentina

Ignacio Velez-Pareja

Grupo Consultor CAV Capital Advisory & Valuation ( email )

Ave Miramar # 18-93 Apt 6A
Cartagena
Colombia
+573112333074 (Phone)

HOME PAGE: http://cashflow88.com/decisiones/decisiones.html

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