The managers of Virginia Hydroponics Co. have included a shutdown option into the design of a proposed capital investment project: This option provides a firm with the flexibility to make potentially profitable investments in the future that would not have been possible if the initial project had not been undertaken This option allows a firm to temporarily terminate operations in order to prevent experiencing negative cash flows. This option allows a project to be expanded if demand turns out to be greater than expected. This option allows the outputs of the production process to be altered if market conditions change during a project's life. Which of the listed statement best describes a shutdown option? Statement II Statement I Statement III Statement IV None of the statements listed above describes a shutdown option. Real option analysis adds value to a project when it is used for which of the following? Check all that apply. Identifying real options that can be The managers of Virginia Hydroponics Co. have included a shutdown option into the design of a proposed capital investment project: This option provides a firm with the flexibility to make potentially profitable investments in the future that would not have been possible if the initial project had not been undertaken This option allows a firm to temporarily terminate operations in order to prevent experiencing negative cash flows. This option allows a project to be expanded if demand turns out to be greater than expected. This option allows the outputs of the production process to be altered if market conditions change during a project's life. Which of the listed statement best describes a shutdown option? Statement II Statement I Statement III Statement IV None of the statements listed above describes a shutdown option. Real option analysis adds value to a project when it is used for which of the following? Check all that apply. Identifying real options that can be