Abstract
In this chapter, we first introduce the basic concepts of call and put options. Then we show how the simple one period binominal call option pricing model can be derived. Finally, we show how a generalized binominal option pricing model can be derived.
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Lee, A.C., Lee, J., Mai, J.SY. (2010). Applications of the Binomial Distribution to Evaluate Call Options. In: Lee, CF., Lee, A.C., Lee, J. (eds) Handbook of Quantitative Finance and Risk Management. Springer, Boston, MA. https://doi.org/10.1007/978-0-387-77117-5_24
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DOI: https://doi.org/10.1007/978-0-387-77117-5_24
Publisher Name: Springer, Boston, MA
Print ISBN: 978-0-387-77116-8
Online ISBN: 978-0-387-77117-5
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