If Projects Have Implied Options

question 2

Multiple Choice

If projects have implied options.

• A) The shorter the available life of the project the less valuable the option is.
• B) The longer the available life of the project the less valuable the option is.
• C) The shorter the available life of the project the more valuable the option is.
• D) Available project life does not change the value option.

---

Definitions:

Major Objective

The primary goal or purpose that an individual, organization, or entity aims to achieve.

Foreign Exchange Markets

Global decentralized or over-the-counter markets for the trading of currencies, enabling currency conversion for international trade and investments.

U.S. Inflation

U.S. Inflation is the rate at which the general level of prices for goods and services is rising, eroding purchasing power, in the United States over time.

International Gold Standard

A monetary system in which the value of a country's currency is directly linked to a specified amount of gold, facilitating international trade and investment by establishing exchange rates based on gold parity.