Consider a Stock Index Currently Trading at 128 $u = 1.08$

question 30

Multiple Choice

Consider a stock index currently trading at 128.You have modeled the evolution of this index in a binomial tree and have come up with the following parameters: $u = 1.08$ , $d = 0.93$ .The gross risk-free rate per step of the binomial tree is $R = 1.03$ and the dividend yield on the index is $\delta = 0.01$ .The risk-neutral probability of an up-move in this setting is

• A)0.598
• B)0.660
• C)0.667
• D)0.736

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Definitions:

Multimodal Therapist

A therapist who integrates techniques from multiple therapeutic modalities to address the varied aspects of a client's issues, including affective, behavioral, cognitive, and physiological components.

BASIC I.D.

An acronym for the components of human experience according to multimodal therapy: Behavior, Affect, Sensation, Imagery, Cognition, Interpersonal relationships, and Drugs/biology.

Interpersonal Stance

The position or attitude one adopts in relation to others, especially in social or therapeutic contexts.

Multimodal Therapeutic Relationship

An approach to therapy that integrates multiple therapeutic methods and considers various aspects of a client's life for effective treatment.