Answered: ich of the following inputs is not…

ich of the following inputs is not required to price option using the Black‐Scholes model? a) the asset price b) the time to maturity c) the asset’s risk pre

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter4: Bond Valuation

Section: Chapter Questions

Problem 10MC

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Question

Which of the following inputs is not required to price option using the Black‐Scholes model?

a) the asset price

b) the time to maturity

c) the asset’s risk premium

d) the risk‐free rate of interest

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