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Vikentia [17]
2 years ago
11

All the inputs in the black-scholes option pricing model are directly observable except? the time to expiration. the price of th

e underlying security
Business
1 answer:
Nuetrik [128]2 years ago
6 0

All the inputs in the Black-Scholes option pricing model are directly observable except the price of the underlying security.

Volatility (standard deviation of log returns) is not directly observable and is the most difficult to determine. Two common ways to estimate volatility: using historical data. Extract volatility from other options.

The Black-Scholes model takes his five input variables: option strike price, current stock price, time to maturity, risk free rate and volatility.

Assumes constant values of risk-free return and volatility over the life of the option. None of these are necessarily constant in the real world. We assume continuous and free trading, ignoring the effects of liquidity risk and brokerage fees.

Learn more about expiration at

brainly.com/question/15220794

#SPJ4

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It is personality factor which means doing things even before being told​
timama [110]

Answer:

Initiative.

Explanation:

Initiative is a personality factor which means doing things even before being told.

This ultimately implies that, an initiative refers to the ability of an individual to act by himself or herself without getting any instruction from anybody.

Initiative connotes the personality factor that influences an individual to perform an action or task without being told, urged, compelled or forced to do so.

6 0
3 years ago
Which of the following skills are
Verizon [17]

Answer:

A. organization

Explanation:

a secretary writes the minutes during a meeting and also schedules the meetings for his boss therefore he/she must be organized for the work to be done efficiently.

7 0
3 years ago
Argument or Nonargument
12345 [234]

Answer:

To focus on the performance...the country does poorly.

Explanation:

Argument or Nonargument

To focus on the performance of the stock market is to zero in on an economic indicator that can do well even as the country does poorly. In 2006, for instance, the Dow Jones industrial average hit highs. According to the just released census data, however, median earnings fell one percent, and millions more Americans entered the ranks of the uninsured. Indeed, from 2000 to 2007 the S&P 500 gained more than 500 points. Meanwhile, the median household income fell by more than $900.The conclusion is....

a) According to the just released..ranks of the uninsured.

b) To focus on the performance...the country does poorly.

c) In 2006, for instance, the Dow Jones...hit highs.

d) Meanwhile...fell by more than $900

The key is to focus on the performance...the country does poorly

4 0
3 years ago
When originally purchased, a vehicle costing $24,120 had an estimated useful life of 8 and an estimated salvage value of $2,200.
nydimaria [60]
<span>$5,375, The method used is finding the original deprecation per year rate and then find the net book value. Find the difference between this and the original salvage value and divide by the number of years left.</span>
3 0
3 years ago
An adviser with $133,000,000 of assets under management has its main offices in Illinois and branch offices in Wisconsin, Indian
Annette [7]

Answer: The adviser must register in all the states i.e Illinois, Wisconsin, Missouri and Indiana.

Explanation:

From the question, we are told that an adviser with $133,000,000 of assets under management has its main offices in Illinois and branch offices in Wisconsin, Indiana, and Missouri.

Based on th above scenario, the adviser has to register in all the states where it has offices.

3 0
4 years ago
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