Use the Excel spreadsheet Black Scholes Merton Binomial lOe.xlsm and determine the value of a call option

Question:

Use the Excel spreadsheet Black Scholes Merton Binomial lOe.xlsm and determine the value of a call option on a stock currently priced at 165.13, where the risk-free rate is 5.875 percent (compounded annually), the exercise price is 165, the volatility is 21 percent, the option expires in 102 days, and there are no dividends on the stock. Let the number of binomial periods be 1,5, 10, 25, and 50?
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question
Question Posted: