ABSTRACT
Once a real options framework has been defined for a problem or a project, the true goal is to value that option. The use of software-based models allows the analyst to apply a consistent, well-tested, and replicable set of models. It reduces computational errors and allows the user to focus more on the process and problem at hand rather than on building potentially complex and mathematically intractable models. This chapter provides a good starting point with an introduction to the Real Options Super Lattice Solver software. For more details on using the software, consult the user manual, whereas for more technical, theoretical, and practical details of real options analysis, consult Real Options Analysis: Tools and Techniques, 2nd ed. (Wiley Finance; Mun 2005). The materials covered in this chapter assume that the reader is sufficiently well versed in the basics of real options analytics.
