Why is it that an American option is always worth the same as a European option? If
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Why is it that an American option is always worth the same as a European option? If it were not, what strategy could an arbitrageur use to profit?
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The value of an American option and a European option on the same underlying asset with the same strike price and expiration date should be the same u...View the full answer
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Somshukla Chakraborty
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Related Book For
Corporate Finance
ISBN: 9780077173630
3rd Edition
Authors: David Hillier, Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan, Jeffrey F. Jaffe
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