Question: Exercise II . A . 1 4 . Taking ( for simplicity ) a binomial tree for a European Call, prove that if is equal

Exercise II.A.14. Taking (for simplicity) a binomial tree for a European Call, prove that if
is equal to 1 in two children nodes, it will also be equal to 1 in the parent node. Referring to
Figure II.11, nodes u and d are children and the node with S
prev is the parent.
Exercise II.A.14. Taking (for simplicity) a binomial tree for a European

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