A binomial tree with three-month time steps is used to
A binomial tree with three-month time steps is used to value a currency option. The domestic and foreign risk-free rates are 2% and 5% respectively. The volatility of the exchange rate is 20%. What is the risk neutral probability of an up movement?
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a binomial tree with three-month time steps is used to value a currency option the domestic and foreign risk-free rates
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