19.8. A stock price is currently $20. Tomorrow, news is expected to be announced that will either...

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19.8. A stock price is currently $20. Tomorrow, news is expected to be announced that will either increase the price by $5 or decrease the price by $5. What are the problems in using Black–Scholes–Merton to value one-month options on the stock?

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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 09:00 AM

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19.8. A stock price is currently $20. Tomorrow, news is expected to be announced that will either...

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Fundamentals Of Futures And Options Markets

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