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    Derivatives and Risk Management Study Set 2
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    Exam 4: Option Pricing Models: the Binomial Model
  5. Question
    The Binomial Model Will Give a Higher Price for an American
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The Binomial Model Will Give a Higher Price for an American

Question 50

Question 50

True/False

The binomial model will give a higher price for an American call on a stock that pays no dividends than if that call is European.

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