What type of random variable is necessary for a Monte Carlo valuation?
A) Standard normal distribution
B) Normal distribution
C) Lognormal distribution
D) All of the above
D
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Consider a two-period binomial model, where each period is 6 months. Assume the stock price is $60.00, ? = 0.30, r = 0.05. An American put option with a strike price of $65 would be exercised early at what dividend yield?
A) 5.0% B) 6.0% C) 11.0% D) Never exercised early
When the correct SQL command is used to delete a table's structure, what happens to the data in the table?
A) If the deleted table was a parent table, the data is added to the appropriate rows of the child table. B) If the deleted table was a child table, the data is added to the appropriate rows of the parent table. C) The data in the table is also deleted. D) Nothing because there was no data in the table since only an empty table can be deleted.