Question: Study Exhibit 7. How is project finance like holding a portfolio of call options on project assets? How is corporate finance like holding a call

Study Exhibit 7. How is project finance like holding a portfolio of call options on project assets? How is corporate finance like holding a call option on a portfolio of assets?

Exhibit 7 Hypothetical Payoffs to Project-Financed versus Corporate-Financed Investment Source; Calewnter

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