TY  - CHAP
AB  - The paper develops a real option collar model that may be employed by managers to measure the market price risk involved to their shareholders in offering or accepting stock. We further discuss accounting issues related to this contingency pricing effect. Using an acquisition example from U.S. banking industry we illustrate how the collar arrangement may be used to hedge market price risk through flexibility to renegotiate the deal by exercising managerial options.
VL  - 12
SN  - 978-0-76231-118-7, 978-1-84950-281-8/1474-7871
DO  - 10.1016/S1474-7871(04)12009-1
UR  - https://doi.org/10.1016/S1474-7871(04)12009-1
AU  - Herath Hemantha S.B.
AU  - Jahera John S.
PY  - 2004
Y1  - 2004/01/01
TI  - MEASURING AND ACCOUNTING FOR MARKET PRICE RISK TRADEOFFS AS REAL OPTIONS IN STOCK FOR STOCK EXCHANGES
T2  - Advances in Management Accounting
T3  - Advances in Management Accounting
PB  - Emerald Group Publishing Limited
SP  - 191
EP  - 218
Y2  - 2021/01/24
ER  -