Question: D Question 15 1 pts What is the relation between the binomial option pricing model and the Black-Scholes formula? There is no relation (other than

 D Question 15 1 pts What is the relation between the

D Question 15 1 pts What is the relation between the binomial option pricing model and the Black-Scholes formula? There is no relation (other than that they both price options), these are two different models The Black Scholes formula is the same as a binomial model with a very large number of up- down periods (and very small deltat) The Black Scholes formula is the same as a binomial model with a very small number of up- down periods (and very large deltat) The Black Scholes formula and the binomial model are the same for at the money options

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