Consider a stock currently priced at $100 per share. Its mean annual return is 15%, and the
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Consider a stock currently priced at $100 per share. Its mean annual return is 15%, and the standard deviation of its annual return is 30%. What is the value of an Asian option that expires in 52 weeks (1 year) with an exercise price of $110? Assume that the risk-free rate is 9%. Objective To use simulation to estimate the price of a more exotic call option.
Related Book For
Essentials of Business Statistics
ISBN: 978-0078020537
5th edition
Authors: Bruce Bowerman, Richard Connell, Emily Murphree, Burdeane Or
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