a. Why is it that nothing really changes when there are more than two periods to expiration?

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b. Why don’t you have to worry about the number of paths the stock price can take before expiration? What do you have to worry about?

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Fundamentals Of Investments Valuation And Management

ISBN: 9781266824012

10th Edition

Authors: Bradford Jordan, Thomas Miller, Steve Dolvin

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Question Posted: Dec 31, 2023 10:51 AM

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a. Why is it that nothing really changes when there are more than two periods to expiration?

Question:

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a Nothing Really Changes with More Than Two Periods to Expiration In the context of financial options when discussing more than two periods to expiration it likely refers to the binomial option ...View the full answer

Fundamentals Of Investments Valuation And Management

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