Question
8. How can you replicate the CVR security using financial options? Using the Black-Scholes formula to value the embedded options, what is the per share
8. How can you replicate the CVR security using financial options? Using the Black-Scholes formula to value the embedded options, what is the per share value of the CVR security?
9. What is the per share value of CPs sweetened offer on December 16? What are the most important factors to consider when valuing the sweetened offer? Remember: CP must fund the liability created by CVR.
10. As a Norfolk Southern shareholder, would you vote in favor of the sweetened offer? Should James Squires recommend that the NS board accept the sweetened offer? What should the NS board do?
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Order Flow Trading Secrets To Mastering Market Sentiment Liquidity Volume Patterns Price Action Trading Tools And More
Authors: Daren Price
1st Edition
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