Question: Problem 10.5. (2 points) Consider an option whose payoff function is given by v(s, T) = min(s, 50). If a market-maker writes this option, they

Problem 10.5. (2 points) Consider an option whose payoff function is given by v(s, T) = min(s, 50). If a market-maker writes this option, they need to short sell shares of stock to create a delta-neu...

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