Agent Skills: option-valuation-toolkit

Prices options for valuation work — Black-Scholes with a cost-of-delay yield, binomial trees that allow early exercise, dilution-adjusted employee options for the equity bridge, equity in a heavily levered firm valued as a call on firm value, and implied volatility. Use when employee options or warrants must be subtracted before computing value per share, when a distressed or negative-earnings company's equity still trades above zero, when testing whether a patent, licence, undeveloped reserve or expansion right is a real option that deserves a premium, or when early exercise makes a European formula wrong. Triggers on option pricing, Black-Scholes, binomial tree, real options, option to delay, patent as an option, equity as a call option, distress and default probability, employee stock options, dilution, warrants, implied volatility, put-call parity.