3. Which of the following statements is CORRECT? a. In general, the more uncerta

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3. Which of the following statements is CORRECT? a. In general, the more uncertainty there is about market conditions, the more attractive it may be to wait before making an investment. b. In general, the greater the strategic advantages of being the first competitor to enter a given market, the more attractive it probably is to wait before making an investment. c. In general, the higher the discount rate, the more attractive it probably is to wait before making an investment. d. In general, investment timing options are more valuable than abandonment options. e. In general, abandonment options are rarely seen in the real world. 3. Which of the following statements is CORRECT? a. In general, the more uncertainty there is about market conditions, the more attractive it may be to wait before making an investment. b. In general, the greater the strategic advantages of being the first competitor to enter a given market, the more attractive it probably is to wait before making an investment. c. In general, the higher the discount rate, the more attractive it probably is to wait before making an investment. d. In general, investment timing options are more valuable than abandonment options. e. In general, abandonment options are rarely seen in the real world. 3. Which of the following statements is CORRECT? a. In general, the more uncertainty there is about market conditions, the more attractive it may be to wait before making an investment. b. In general, the greater the strategic advantages of being the first competitor to enter a given market, the more attractive it probably is to wait before making an investment. c. In general, the higher the discount rate, the more attractive it probably is to wait before making an investment. d. In general, investment timing options are more valuable than abandonment options. e. In general, abandonment options are rarely seen in the real world.

Explanation / Answer

Answer

3. Which of the following statements is CORRECT?

Answer : a. In general, the more uncertainty there is about market conditions, the more attractive it may be to wait before making an investment.

Explanation: In uncertain market conditions, Investment decision taken may go wrong. So It is beneficial to wait till market conditions become certain before making any investment.

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