stock's volatility = if it was 4) A stock is currently selling for a price of...
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stock's volatility = if it was 4) A stock is currently selling for a price of $20, the risk free rate is 10% (cc), and the 30% per annum. A put option expires in six-months and has a strike price of $23. Use a binomial tree with 2 steps to determine the price of the option s European and if it was American. Be sure to indicate if and when early exercise occurs. How much is the option to "early-exercise" worth? stock's volatility = if it was 4) A stock is currently selling for a price of $20, the risk free rate is 10% (cc), and the 30% per annum. A put option expires in six-months and has a strike price of $23. Use a binomial tree with 2 steps to determine the price of the option s European and if it was American. Be sure to indicate if and when early exercise occurs. How much is the option to "early-exercise" worth?
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