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1. Prove that for 2 otherwise identical European put options with exercise prices E1, E2 where E1 < E2, on an asset that pays no

1. Prove that for 2 otherwise identical European put options with exercise prices E1, E2 where E1 < E2, on an asset that pays no dividends that 0 P(S, t; E2) P(S, t; E1) E2 E1.

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