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A non-dividend paying stock is trading at $200. The volatility is at 50%. Risk free rate is at 2%. Price an at the money 2-year
A non-dividend paying stock is trading at $200. The volatility is at 50%. Risk free rate is at 2%. Price an at the money 2-year American put option using a 4 step tree. Use the CRR procedure. What is the price?
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Personal Finance And Investments
Authors: Keith Redhead
1st Edition
0415428629, 978-0415428620
