Using the Black and Scholes Formula (in Spanish)
University of Navarra - IESE Business School
April 3, 2008
I show: a) how to use the Black and Scholes formula to value options; b) what is the arbitrage portfolio; c) how to calculate the volatility; d) how the early exercise affects the value of the option; and e) how the dividends affect the value of the option; and f) what is the implicit volatility.
Number of Pages in PDF File: 30
Keywords: Black and Scholes, volatility, arbitrage, early exercise, put, call
JEL Classification: G12, G31, M21working papers series
Date posted: April 7, 2008
© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.
This page was processed by apollo7 in 0.250 seconds