LEARN ESOP VALUATION Via BLACK SCHOLES FORMULA
LEARN ESOP VALUATION- BLACK SCHOLES FORMULA Black Scholes Formula is the most often used approach, and it is recommended for small schemes with simple rules. The formula is as follows (source: Wikipedia): In this scenario, the variables are the share price (S), exercise price (K), volatility (sigma), time to exercise (T), and the risk-free rate […]