Explain why a regular European call option is the sum of a down-and-out European call and a

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Explain why a regular European call option is the sum of a down-and-out European call and a down-and-in European call.

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Fundamentals of Futures and Options Markets

ISBN: 978-0132993340

8th edition

Authors: John C. Hull

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Question Posted: Jan 20, 2016 09:04 AM

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Explain why a regular European call option is the sum of a down-and-out European call and a

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If the barrier is reached the downandout option is worth nothing while th...View the full answer

Fundamentals of Futures and Options Markets

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