BOPM FOR PUTS AND THE DIVIDEND-ADJUSTED BOPM. Chapter 6. Binomial Stock Movement. Assumption. Assume there is a European put option on the stock that expires at the end of the period. Example: X = $100. Binomial Put Movement. Replicating portfolio.
BOPM FOR PUTSAND THE DIVIDEND-ADJUSTED BOPM
Binomial Stock Movement
Binomial Put Movement