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### Put-Call Parity Application

In the binomial model, how that the Delta of a call option $\Delta^{call}$ and the Delta of a put option $\Delta^{put}$ with the same maturity and strike satisfy \Delta^{call}_t - \Delta^{put}_t = ...
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### SAS code for Brownian Motion

I want to simulate call options using monte carlo algorithm. I am a noob SAS user but i know that i need to: -simulate random stock prices with no dividend in respect to different parameters(...
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### Understanding the necessary and sufficient conditions for rational early exercise of a call option

I am self-studying for an actuarial exam, and I encountered the following in my text: The author states that if $PV_{t, T}\text{(Divs)} < K(1 - e^{-r(T - t)})$, early exercise is not rational. ...
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### Difficulty understanding put-call parity for currency options

I am self-studying for an actuarial exam on models for financial economics. I am having difficulty thinking about the put-call parity for currency options, specifically how use the notation. Here is ...
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I am self-studying for an actuarial exam on financial economics. I encountered this problem, and I am having difficulty seeing why the statement underlined is true: How do we know that $P(60) - C(... 1answer 80 views ### What is more likely effect to call and put prices, respectively, if the stock price decreases by$1?

The current stock price is \$80.Call ,and ,put, options, with ,exercise ,prices, of$50 and 3 days to maturity are currently trading. What is more likely effect to call and put prices, respectively, ...