Question: in this case? 17. Consider a two-period example with S 100, u = 1.10, d = 0.90, R = 1.02, and a dividend of $5
in this case? 17. Consider a two-period example with S 100, u = 1.10, d = 0.90, R = 1.02, and a dividend of $5 after one period. Is early exercise of a call optimal given these parameters? We repeat the previous question with higher volatility and interest rates and with lower a 18
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