TABLE OF CONTENTS | B | Barrier price |
| ? | Risk measure factor under the capital asset pricing model |
| C | Call option value |
| C | Cost of the capital component in the weighted average cost of capital |
| CAPM | Capital asset pricing model |
| d | Down factor |
| DCF | Discounted cash flow |
| DTA | Decision tree analysis |
| ? | Simulated value from a standard normal distribution with a mean of zero |
| EV | Expected value |
| FV | Future value |
| MARR | Minimum acceptable rate of return |
| n | Number of time increments |
| NPV | Net present value |
| p | Probability |
| P | Put option value |
| PV | Present value |
| r | Interest or discount rate |
| ROA | Real options analysis |
| ROV | Real options value |
| S | Underlying asset value |
| ? | Standard deviation of the natural logarithm of cash flow returns |
| ? 2 | Variance (standard deviation squared) |
| t | Time increment |
| T | Option life |
| u | Up factor |
| W | Weight of the capital component in weighted average cost of capital |
| WACC | Weighted average cost of capital |
| X | Strike price |
| y | Dividend yield |
