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    Derivatives and Risk Management Study Set 2
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    Exam 5: Option Pricing Models: the Black-Scholes-Merton Model
  5. Question
    The Black-Scholes-Merton Model Assumes the Underlying Instrument Movement Is Lognormally
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The Black-Scholes-Merton Model Assumes the Underlying Instrument Movement Is Lognormally

Question 46

Question 46

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The Black-Scholes-Merton model assumes the underlying instrument movement is lognormally distributed.

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