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Review. Principle of separation Present discounted value the real investment. (equivalence). Decide whether to undertake it (optimization). Select
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Monty Hall and options. Demonstration: Monty Hall A prize is behind one of three doors. Contestant chooses one. Host opens a door that is not the
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Options and risk measurement. Definition of a call option A call option is the right but not the obligation to buy 100 shares of the stock at a stated
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Monty Hall and options
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