Question: Derive and critically evaluate the Cox, Ross and Rubinstein (1979) binomial option pricing model. In particular, you should discuss the role of no-arbitrage pricing and

Derive and critically evaluate the Cox, Ross and Rubinstein (1979) binomial option pricing model. In particular, you should discuss the role of no-arbitrage pricing and risk-neutral valuation.

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Derive and critically evaluate the Cox, Ross and Rubinstein (1979) binomial option pricing model. In particular, you should discuss the role of no-arbitrage pricing and risk-neutral valuation.

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