Examlex
A total lunar eclipse is visible only from the path of totality.
Binomial Option Model
A mathematical model used to price options by breaking down the option's life into discrete time intervals and calculating the value at each step.
Interest Rate
The percentage of a sum of money charged for its use, typically expressed as an annual percentage on a loan or investment.
Option Price
The price at which a specific derivative contract can be exercised, representing the cost to buy (call option) or sell (put option) an underlying asset at the strike price.
Riskless Arbitrage
An investment strategy that involves exploiting price differences of identical or similar financial instruments on different markets or in different forms.
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