Question
The current price of a non-dividend paying stock is $30. Use a two-step tree to value a European put option on the stock with a
The current price of a non-dividend paying stock is $30. Use a two-step tree to value a European put option on the stock with a strike price of $32 that expires in 6 months. Each step is 3 months, the risk free rate is 8%, and u = 1.1 and d = 0.9?
| $2.24 | ||
| $2.34 | ||
| $2.44 | ||
| $2.54 |
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The Handbook Of Financial Modeling
Authors: Jack Avon
2nd Edition
1484265394, 978-1484265390
