Binomial model gasworks inc has been approached to sell up, Ask an Expert

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Binomial Model: Gasworks Inc. has been approached to sell up to 5 million gallons of gasoline in three months priced at $2.65 per gallon. Gasoline is currently selling on the wholesale market at $2.34 per gallon and has a standard deviation of 62%. If the risk-free rate is 6% per year, what is the value of this option?

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Financial Management, Finance

Category:- Financial Management
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