Question 3
In the Black-Scholes pricing formula, stock prices are considered to be log-normally distributed.
TRUE
FALSE
In the Black-Scholes pricing formula, stock prices are considered to be log-normally distributed.
TRUE
FALSE
Correct answer
TRUE
Question 3 of 35 in the IIT Madras BS Corporate Finance (Corporate Finance) End Term paper sat on 22 Dec 2024, in the September 2024 term (IIT M DEGREE AN EXAM QDB3 22 Dec 2024). It carries 2 marks.