Dakota State University
BUS 418 Financial Futures & Options
Spring 2001

Class Notes
Chapter
12

All notes are in Word format.

Transparency
Number

Title
1 Option Pricing
2-4, 6-8 Principles of Call Option Pricing
5 The Boundary Space for a Call Option, Figure 12.1 (modified)
9, 10, 12-15 Principles of Put Option Pricing
11 The Boundary Space for a Put Option, Figure 12.2 (modified)
16 Effect of changes in volatility, risk-free interest rate, and dividends on option prices (handout)
17 Effect of changes in stock price, strike price, and expiration date on options prices (handout)

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April 11, 2001