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Brad is having difficulty finding time to study.He goes to a counselor and they talk about Brad's perceptions of his study habits.The counselor emphasizes that it is Brad's decision about whether and when to study.She stresses that Brad is a resourceful person and will be able to solve his study problem.Brad's counselor isemphasizing the ____ approach to psychotherapy.
Exercise Price
The exercise price is the specified price at which the holder of an option can buy (in the case of a call option) or sell (in the case of a put option) the underlying security or commodity.
Binomial Model
A mathematical model used in finance to estimate the price of options by considering two potential outcomes for an asset's price (up and down) over time.
Risk Free Interest Rate
The rate of return on an investment with zero risk of financial loss, typically based on government bonds.
Exercise Price
The price at which the underlying security can be purchased (call option) or sold (put option) when exercising an option contract, synonymous with striking price.
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