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Assume you have an option that pays 1 if the stock price equals or above 10 and 0 otherwise. If the current stock price is
Assume you have an option that pays 1 if the stock price equals or above 10 and 0 otherwise. If the current stock price is 7 and the movements are to 14 and 3.5 what is the value of this option assuming expiry in 1 year and interest rate of 5%?
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It seems like youre referring to a binary option specifically a cashornothing option where the payou...
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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
