Referencing textbook readings, lecture material, and current business resources explain why:

1) Briefly explain what real options are and what makes these options valuable.

2) Can a firm withno ongoing projects and investment opportunities that have only negativeNPVsstill be an attractive investment? Why?

3) Why it might not be appropriate to simplypick the highest NPV project when comparing mutually exclusive investments?

Give an example of a real option(s) in capital budgeting process for any "new era" firm (Amazon, Google,Facebooketc.)? Be brief and specific.