Binomial Approach MCQs Test Online PDF Download

Binomial approach multiple choice questions (MCQs), binomial approach test prep for online learning with business degree certificate eCourses. Learn financial options and applications in corporate finance multiple choice questions (MCQs), binomial approach quiz questions and answers. Career test prep on financial options, black scholes option pricing model aptitude test for online financial literacy quiz.

Practice financial options and applications in corporate finance aptitude test MCQs: current value of stock in portfolio with current option price $20 is $50, then present value of portfolio would be, for free online courses with options $30, $70, 1.67%, 30% for business administration degree online. Free skills assessment test is for online e-learning binomial approach quiz questions with MCQs, exam preparation questions and answers for business school exam prep for bachelor degree students.

MCQ on Binomial ApproachQuiz PDF Download

MCQ: In binomial approach of option pricing model, value of stock is subtracted from call option obligation value to calculate

  1. current value of portfolio
  2. future value of portfolio
  3. put option value
  4. call option value

A

MCQ: Current value of stock in portfolio with current option price $20 is $50, then present value of portfolio would be

  1. $30
  2. $70
  3. 1.67%
  4. 30%

A

MCQ: Value of stock is $250 and call option obligation is $100 then current value of portfolio would be

  1. 0.35 times
  2. $150
  3. $350
  4. $2.50

B

MCQ: In binomial approach of option pricing model, fourth step is to create

  1. equalize the domain of payoff
  2. equalize the ending price
  3. riskless investment
  4. high risky investment

C

MCQ: Current value of portfolio is $550 and to cover an obligation of call option is $200 then value of stock would be

  1. $350
  2. 2.75%
  3. $750
  4. 2.75 times

C