Problem

19. (Corridor Options) What is the price of an option that has a maturity of 60 days and p...

19. (Corridor Options) What is the price of an option that has a maturity of 60 days and pays $1 for each day that the stock price lies in the range (50,60)? The current stock price is S = 55, volatility interest rate r = 0.03, and dividends d = 0.

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Solutions For Problems in Chapter 15