A binary option pays off $100 if a non dividend paying stock price is greater than its current value in three months The risk free rate is 3 and the volatili ty is 40 What is the value of the option (Use two decimal places, in dollars without the dollar sign) A binary option pays off $100 if a non...

The value of a binary option can be calculated using the BlackScholes formula for binary o ...

A binary option pays off $100 if a non-dividend-paying stock price is greater than its current...

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Risk Management and Financial Institutions

ISBN: 978-1118955949

4th edition

Authors: Hull John

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Posted Date: Jan 15, 2024 03:31 AM

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