Question
Binomial Option Pricing Case 1: A stock is currently priced at $39/share and pays no dividends. The periodic risk-free rate of interest is 2%. The
Binomial Option Pricing Case 1: A stock is currently priced at $39/share and pays no dividends. The periodic risk-free rate of interest is 2%. The up factor of 1.25 and a down factor of 0.8. Binomial Option Pricing Case 1: In a one-period binomial tree option pricing model, what is the price of a European put option with a strike price of 36:
| A. | 2.3001 | |
| B. | 2.4052 | |
| C. | 2.4533 | |
| D. | 6.1111 |
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Reinventing The CFO How Financial Managers Can Transform Their Roles And Add Greater Value
Authors: Jeremy Hope
1st Edition
1591399459, 978-1591399452
