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1.Consider the following case of a binomial option pricing. A stock is currently trading at $50. Next period the stock price can go up to

1.Consider the following case of a binomial option pricing. A stock is currently trading at $50. Next period the stock price can go up to Smax or down to Smin.The call option with the exercise price of $50 is currently trading at $9.14. The risk-free rate is 7.5% and the hedge ratio is 5/7. Calculate numerical values of Smax and Smin.

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