search query: @author Smith, J. / total: 31
reference: 22 / 31
| Author: | Smith, J. Nau, R. |
| Title: | Valuing risky projects: option pricing theory and decision analysis |
| Journal: | Management Science
1995 : MAY, VOL. 41:5, p. 795-816 |
| Index terms: | MANAGEMENT SCIENCE RISK PRICING |
| Language: | eng |
| Abstract: | In the academic literature and professional practice, there are a number of alternative and apparently competing methods for valuing risky projects. In this paper, the authors compare and contrast three different approaches: risk adjusted discount-rate analysis, option pricing analysis, and decision analysis, focusing on the last two. They show that when both option pricing and decision analysis methods are correctly applied, they must give consistent results. |
SCIMA