Question: Use Excel or Google Sheets. Get monthly prices on one stock, the current T-bill rate, and the premium, strike, and expiration on at least three
Use Excel or Google Sheets. Get monthly prices on one stock, the current T-bill rate, and the premium, strike, and expiration on at least three options on that stock. Use a binomial model with u,d, andrfrom the data and at least ten periods to price the options. Use the Black-Scholes equation to price the options. Compare these to the actual price of the options.
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