Binomial Approach MCQs & Quiz Online PDF Book Download

Binomial approach MCQs, binomial approach quiz answers to learn finance courses online. Financial options and applications in corporate finance multiple choice questions (MCQs), binomial approach quiz questions and answers for accelerated business degree online. Binomial approach test prep for financial business analyst certification.

Learn financial options and applications in corporate finance test MCQs: in binomial approach of option pricing model, value of stock is subtracted from call option obligation value to calculate, with choices current value of portfolio, future value of portfolio, put option value, and call option value for accelerated business degree online. Practice assessment test for scholarships, online learning binomial approach quiz questions for competitive in business majors for financial business analyst certification.

MCQ on Binomial ApproachQuiz Book 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. 0.0167
  4. 0.3

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. 2.5

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. 0.0275
  3. 750
  4. 2.75 times

C