L1.T4 Valuation & Risk Models, Option Pricing Models

[skoh]

Hi David,

Can I check how do we derive $50.77 for question 1.5?

Thanks

 

[David Harper CFA FRM]

Hi Skoh,

In the lower forum boards, you'll see the source questions are organized, here is the topic 4 board: http://forum.bionicturtle.com/forums/p1-t4-valuation-risk-models.30/
... near the top is question T4.1.5 @ http://forum.bionicturtle.com/threads/p1-t4-1-one-and-two-step-binomial-valuation-models.4744/
which contains an image and even an XLS link to the solved problem, thanks,