options

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January 21, 2018 at 4:00 pm #431840
richardscully
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Hello
BPP q 25 b

Am I correct in assuming you LIKEN the equity of a distressed company to a call option and LIKEN the debt to a put option? You don’t actually have options, you are just using the model to try and get a value?
January 22, 2018 at 9:53 am #431991
John Moffat
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That is correct 🙂
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