A [4] The price of stocks in the A company is currently 40. At the end of

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A [4]

The price of stocks in the "A" company is currently 40. At the end of one month it will be either 42 or 38. The risk free interest rate is 8% per annum. What is the value of a one-month European call option with a strike price of $39?

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Lectures On Corporate Finance

ISBN: B00RGENH5I

1st Edition

Authors: Peter L Bossaerts ,Bernt Arne Odegaard

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