Certain real options allow companies to change capacity output in response to changing market conditions. True or False: The preceding statement is correct. False True

True

Explanation:

Real options include basically the option to get involved in projects involving real assets, as like building, land, machinery that is tangible assets or there is an option to choose securities.

These options provide for the growth of company by increasing their capacity to produce and that the company shall grow with the aim of producing and doing the business with more capacity to generate revenue.