Show that the following is an upper bound for the price of a put option where (P_{t})
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Show that the following is an upper bound for the price of a put option
where \(P_{t}\) is the current put price, \(K\) is the exercise price, \(r\) is the risk free interest rate and \((T-t)\) is the time to maturity of the option.
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Related Book For
Lectures On Corporate Finance
ISBN: 9789812568991
2nd Edition
Authors: Peter L Bossaerts, Bernt Arne Odegaard
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