2023-07-15T07:09:55+00:00

Financial Math

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Financial Math

Please explain to me where the .5675 in the following formula came from:

v_0 = .5675(110-E)

This is from the solution to problem 6, lecture 6.

I don`t understand where .5675 came from, but I understand the solution.

I`ved attached lectures 5, 6, and the solution to lecture 6.

The formula for a state price vector is in lecture 5, page 3.

i`m just really confused as to where .5675 came from.


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