Corporate Finance
Corporate Finance
12th Edition
ISBN: 9781259918940
Author: Ross, Stephen A.
Publisher: Mcgraw-hill Education,
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Chapter 23, Problem 1MC
Summary Introduction

To compute: The minimum and maximum value of the option that should be assigned.

Option Pricing:

Option pricing helps in determining correct or fair price in the market. It is the value of one share on the basis of which option is traded. Black-Scholes is one of the pricing methods. Further, equity is also used as an option.

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