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Cloud-based application; 5 resources @25$/hr assigned to the project; current technical debt 1500 bugs; team velocity - 30 to 50 bugs per month; risk-free rate
Cloud-based application; 5 resources @25$/hr assigned to the project; current technical debt 1500 bugs; team velocity - 30 to 50 bugs per month; risk-free rate is 5%; pay-per-use - 21 $/month/user; users vary from 35 to 40 per day. 2. The opportunity to invest in a project can be thought of as a three-year real option, which is worth $500 million with an exercise price of $800 million. Calculate the value of the option
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