Current point of time t | 0 |
Available capital V | $200,000 |
Target floor F | $195,000 |
Investment horizon T | 2 years |
Current stock price S0 | $100 |
Continuously compounded annual interest r | 0.10 |
Annual stock volatility σ | 0.30 |
Dividends during time to maturity |
|
Case 1: continuous dividends l | 0.02 |
Case 2: dividends with present value L0 | $10 |