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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 for Foreign Currency Options Is Similar to the Binomial
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The Binomial Model for Foreign Currency Options Is Similar to the Binomial

Question 57

Question 57

True/False

The binomial model for foreign currency options is similar to the binomial model for stock options except the risk-free discount rate is adjusted.

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