Valuation of Guaranteed Maximum Price Contracts in Korea Using the Collar Option Model

Table 5

Maximum and minimum values of cost.

Range	Maximum value	Minimum value
0.05–99.95% (0.1%)	$62,074,638	$42,934,102
0.5–99.5 (1%)	$57,901,101	$44,945,033
2.5–97.5 (5%)	$55,190,504	$46,359,045
5–95 (10%)	$54,070,058	$46,819,569
7.5–92.5 (15%)	$53,414,426	$47,110,991