This week’s reading gives an overview of financial options and describes payoffs to various options strategies. The factors that affect option prices are also discussed. Finally, the equity and debt of the firm are modeled as options. What part of the chapter readings was most significant to you?
Write a 300-word description in which you discuss and answer the above questions by Wednesday.
- Cite and use APA format if you use outside sources.
- Describe how this discussion will change your thought process of how you will view business in the future.
- Leave a question for peers in your answer.
- 3 references
- Reference textbook: Chapter 20: Financial Options Berk, J., & DeMarzo, P. (2019). Corporate Finance (5th Edition). Pearson Education (US).