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A European call is currently selling with strike $31, expiry in 8 months and current underlying asset value $38. The yearly volatility is 35%
A European call is currently selling with strike $31, expiry in 8 months and current underlying asset value $38. The yearly volatility is 35% and the continuously compounding interest rate per year is 6%. What is a rational price for the call?
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To calculate the rational price of the European callwe can use the BlackScholes modelH...
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
