1. What is true about the managerial options in the NPV analysis.

   I. If we exclude the (real) option to expand the project, when we calculate NPV,it will likely result in the underestimation of the true NPV of a project.

   II. If we exclude the (real) option to abandon the project when we calculate NPV, it will likely result in the underestimation of the true NPV of a project.

   		I and II
   		II only
   		None of the above
   		I only