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b) Binomial pricing model doesnt provide for the possibility of price of the underlying remaining the same between two consecutive time points (it assumes that either the price could go up or could come down; it completely ignores the possibility of the price not changing at all) a) Binomial pricing model breaks up the time to the expiry of option in to a limited number of time intervals and hence, the price calculated through binomial trees is more of a broad approximation of the actual price. (Compare this with Black Scholes (BS) Model which gives a more accurate approximation because the BS model involves breaking the time to expiry into infinitesimaly small time intervals).
About $1,300 - !,400.
Please make your question more detailed.If you're talking about "1932 Ford Model B"Price for '32 Ford Model B ranged from $495 U.S. Dollar for the Roadster and the coupe. $490 to $650 for convertible sedan. There was total of 133,539 of this make/year.
The 3 C's model for setting pricestakes into account the customer, our costs, and the competition. Customer's perception about the various attributes of the products, competitor's pricing and our own total costs.
Price ranges are detailed in the Blue Book of Gun values www.bluebookinc.com