The binomial model a useful technique

Reference no: EM13819073

Why is the binomial model a useful technique for approximating options prices from the Black- Scholes(-Merton) model? Describe some applications and uses of this model. Does put-call parity always hold in financial markets? If not, give a few reasons why it may not hold.

Reference no: EM13819073

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The binomial model a useful technique : Why is the binomial model a useful technique for approximating options prices from the Black- Scholes(-Merton) model? Describe some applications and uses of this model. Does put-call parity always hold in financial markets? If not, give a few reasons..

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