Question: Options are really complicated, particularly when there are 9 , 1 4 5 , 2 2 8 possible values the stock could have between now
Options are really complicated, particularly when there are possible values the stock could have between now and when the option expires. To simplify things, we assume that we can treat all options like European options because European options can only be exercised at expiration, meaning that we only neld to understand what the option payoffs could be af the end of the option's life.
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