Real Options Logic Is Useful When Corporations Consider Stock Options

question 65

True/False

Real options logic is useful when corporations consider stock options as a way to finance entrepreneurial ventures.

---

Definitions:

Recycling

The process of converting waste materials into new products to prevent waste of potentially useful materials, reduce consumption of fresh raw materials, energy usage, and air and water pollution.

Cognitive Dissonance

The psychological discomfort experienced by an individual who holds two or more contradictory beliefs, ideas, or values at the same time.

Validity Effect

The phenomenon where repeated exposure to a statement increases the likelihood of accepting it as true.

Fundamental Attribution Error

is the tendency to overemphasize personality traits and underestimate situational factors when explaining others' behaviors.