Which of the Following Statements Is INCORRECT

question 13

Multiple Choice

Which of the following statements is INCORRECT?

• A) The single-period Heath-Jarrow-Morton (HJM)model is useful as a teaching tool and cannot be used to get realistic option values.
• B) The single-period HJM model can be used to illustrate key ideas underlying the pricing and hedging methodology.
• C) Interest rate derivatives like American options,futures contracts,and swaptions need at least two periods to capture their complexity.
• D) Interest rate derivatives like American options,futures contracts,and swaptions need at least three periods to capture their complexity.
• E) The term structure evolution underlying a properly specified binomial model becomes realistic when the time between periods is small and the number of periods is large.

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Establishments that provide hair cutting, grooming, and sometimes additional services primarily for men.

Discrimination

Unfair or prejudicial treatment of individuals based on characteristics such as race, gender, age, or sexual orientation.

Wage Differences

Variations in wages or salaries paid to individuals based on job type, industry, geographic location, or factors such as experience and education.

Education Level

The highest degree or stage of schooling completed by an individual, often used as a measure in demographics and sociological research.