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-"Call Options" and "Put Options" are stock investment terms that can be applied to some capital...

-"Call Options" and "Put Options" are stock investment terms that can be applied to some capital budgeting decisions/ situations. Explain how.

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call options- on the basis of viability of any capital budgeting project whether to take it in future is justified by call options. a wish to fulfill the contingent financing decision based on its profitability bu paying a small premium at present.

Put Option- similar to call option, Put option can be bought by paying a premium for future accept/reject decision. once the project financing are calculated its profitability decided whether to call or put the project

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