18.6. For a dividend-paying stock the tree for the stock price does not recombine, but the tree...

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18.6. “For a dividend-paying stock the tree for the stock price does not recombine, but the tree for the stock price less the present value of future dividends does recombine.” Explain.

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Fundamentals Of Futures And Options Markets

ISBN: 9780134083247

9th Edition

Authors: John Hull

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Question Posted: Jul 26, 2024 08:00 AM

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18.6. For a dividend-paying stock the tree for the stock price does not recombine, but the tree...

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Fundamentals Of Futures And Options Markets

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