Plz explain q6 in detail and in simple language plz don’t copy book answer
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tum aisa soch skte ho ki dekho option pricing through binomial method involes multiple period and if we use replicating portfolio approach so at each period we have rebalance portfolio due to change in delta and real market buy and sell of shares involves transaction cost. due to this hum vo arbitrage profit nhi kma payenge. hence option A would be the answer
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