CRR Binomial Tree Calculator

Price American call and put options using the Cox-Ross-Rubinstein binomial tree model. Includes interactive tree visualization with early exercise detection and European price comparison.

Binomial Tree (CRR) — American Options

Choose a way to start the calculation

Simulate freely

CALL PUT

Strike (K)

Time to maturity (T, years)

Interest rate (r, % p.a.)

Dividend yield (q, % p.a.)

Number of steps (n)

Stock price (S)

Volatility (σ, %)

Option premium (price)

Binomial Tree (first steps)

Hold (continuation) Early exercise optimal S = stock E = exercise payoff C = continuation (hold) V = max(E, C)

European (Black-Scholes) price	—
American (CRR) price	—
Early exercise premium	—

For best precision, use n = 1000 or higher. Lower n values (like 10) are useful for visualizing the tree but less accurate.