Perform instant experiments on whether changing various inputs causes an increase or decrease in the Call Price

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Perform instant experiments on whether changing various inputs causes an increase or decrease in the Call Price and in the Put Price and by how much.

(a.) What happens when the standard deviation is increased?

(b.) What happens when the time to maturity is increased?

(c.) What happens when the exercise price is increased?

(d.) What happens when the riskfree rate is increased?

(e.) What happens when the dividend yield is increased?

(f.) What happens when the standard deviation is really close to zero?

(g.) What happens when the time to maturity is really close to zero?

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Excel Modeling In Corporate Finance

ISBN: 9781292059389

5th Global Edition

Authors: Craig W. Holden

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Question Posted: Jul 19, 2024 07:03 PM

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Perform instant experiments on whether changing various inputs causes an increase or decrease in the Call Price

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Excel Modeling In Corporate Finance

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