Quiz Ch 21 – Limitations of Discounted Cash-Flow Approach in Options Valuation

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What are the reasons for the inadequacy of the discounted cash-flow approach in valuing options?

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  • Search Terms: a) a an approach appropriate as cannot capital cash cash-flow changes changes. cost discounted does estimate every expected find finding flows. b) for impossible infinitely interest interval. c) is it moves. d) not of one opportunity options price rate risk small stock strike the time to valuation why work?
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