The Modification of Black-Scholes Option Pricing Model Applied in Business Evaluation for High-tech Enterprise

Based on expounding exactly the definition of options, to illuminate its intrinsic value and behavior of premium. To modify the model fit for long-term option and short-term option with variables as Expiration date and dividend-paying policy by numbers of empirical studies, explain calculating way of dividend yield and volatility. Then it uses that into cases analysis and introduce valuation steps, which make option pricing method more applied, simplified and procedured.