Thank you professon Damodaran for the great course! The test solution document is actually same as the question document. I got my answers as below: 1d, 2b, 3d, 4b, 5c, 6c, and would love to know if I get them right or not.
Dr. Damodaran, The post class test solution PDF is same as the post class test PDF. Would you please update this when you have a moment. Thank you!
You should use the delta formula for explain Better how ti find the percentage of stock to buy
Under which condition you would buy or sell call option?
Prof, I have 2 questions. 1. In binomial model, why have not you considered time factor t=2( assuming 2 months)? 2. An why are we considering the risk free rate of return for the same. Thanks
The test solution has 3 pages, the solution is on the 3rd page.
Thank you…
H, how did you guys get D=0.8278 , B=21.61
@kashik1725