If the risk free rate is 10%, the current price of gold is $920 and the volatility
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Question:
If the risk free rate is 10%, the current price of gold is $920 and the volatility of gold price is 20% per year can you find what is the amount of money that they can raise?
I have seen other answers, but they seem to ignore volatility is there a reason for that, if so can you explain, and if not can you tell the FV using the volatility too?
Related Book For
Fundamentals of Corporate Finance
ISBN: 978-1118845899
3rd edition
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
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