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1. (60 points) Short Answer Questions Are the following statements True, False or Ambiguous? Provide a short (one or two sentence) justification for each of

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1. (60 points) Short Answer Questions Are the following statements True, False or Ambiguous? Provide a short (one or two sentence) justification for each of your answers. Your score will be based on your justification (i.e., a correct answer with no or incorrect justification may receive zero points). (b) (10 points) The power of binomial option pricing method is in its flexibility. Binomial option pricing method can account for path-dependent payoffs. 1. (60 points) Short Answer Questions Are the following statements True, False or Ambiguous? Provide a short (one or two sentence) justification for each of your answers. Your score will be based on your justification (i.e., a correct answer with no or incorrect justification may receive zero points). (b) (10 points) The power of binomial option pricing method is in its flexibility. Binomial option pricing method can account for path-dependent payoffs

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