The effects of the debt financing restriction in a real options model

Michi Nishihara, Takashi Shibata
2008 2008 IEEE International Conference on Industrial Engineering and Engineering Management  
This paper investigates the owner's optimal contract with a bonus-incentive and audit when the owner delegates the investment timing decision to a manager with private information on an investment project. The solution includes discussion of the findings obtained in previous work in this area.
doi:10.1109/ieem.2008.4738025 fatcat:vucyv4phgvcavejebu4pikwkcq