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How do we use a simulation approach to price options? Elaborate in detail regarding (i) modeling the evolution of asset price (i.e. how do we

How do we use a simulation approach to price options? Elaborate in detail regarding (i) modeling the evolution of asset price (i.e. how do we derive S(t) on the option expiration date? Please be specific as much as you can), (ii) accounting for the random nature of underlying asset prices, and (iii) the process of computing expected terminal value and its present value.

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