Question: Please assist with the solution for the below: Consider a two-period binomial model, where each period is 6 months. Assume the stock price is $46.00,
Please assist with the solution for the below:
Consider a two-period binomial model, where each period is 6 months. Assume the stock price is $46.00, = 0.28, r = 0.06 and the dividend yield is 2.0%. What is the maximum approximate strike price where early exercise would occur with an American call option?
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