Question: When there are two dividends on a stock, you can calculate the following options values: (I ) The value of a European option maturing just

When there are two dividends on a stock, you can calculate the following options values: (I ) The value of a European option maturing just before the first dividend (II ) The value of a European option maturing just after the first dividend (III) The value of a European option maturing just before the second dividend (IV) The value of a European option maturing just after the second dividend (V ) The value of a European option maturing at the same time as the American option.

Blacks approximation sets the value of an American call option equal to the greater of: .

a IV and V

b III and V

c II and IV

d II and V

I and II

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