Once we know how to value options on a stock paying a dividend yield, we know how to value options on stock indices, currencies, and futures Explain this statement ...

A stock index is analogous to a stock paying a cont ...

Once we know how to value options on a stock paying a dividend yield, we know how

Question:

"Once we know how to value options on a stock paying a yield, we know how to value options on stock indices, currencies, and futures." Explain this statement.
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...