# Question: What would be the Excel formula in Spreadsheet 19 1 for

What would be the Excel formula in Spreadsheet 19.1 for the Black- Scholes value of a straddle position?

## Answer to relevant Questions

Reconsider the determination of the hedge ratio in the two- state model ( in Section 19.3), where we showed that one- half share of stock would hedge one option. What is the hedge ratio at the following exercise prices: 120, ...Using the data in problem 37, suppose that three- month put options with a strike price of $ 90 are selling at an implied volatility of 34 percent. Construct a delta- neutral portfolio comprising positions in calls and puts ...The spot– futures parity relationship can be used to find a “term structure of futures prices,” that is, futures prices for various maturity dates. a. Suppose that today is January 1, 2013. Assume the interest rate is ...Consider the following information: rUS = 4% rUK = 7% E0 = 1.60 dollars per pound F0 = 1.58 (1- year delivery) where the interest rates are annual yields on U. S. or U. K. bills. Given this information, a. Where would ...A household (HH) saving- account spreadsheet shows the following entries: Calculate the dollar- weighted average return on the HH saving account between the first and final dates.Post your question