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2. Suppose someone longs a $75 stock when the risk-free rate is 10 percent. The stock is held for 2 years and can go up

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2. Suppose someone longs a $75 stock when the risk-free rate is 10 percent. The stock is held for 2 years and can go up by 33.33% of its value every year. a. If the investor purchased a call option with a $60 strike price, solve for the call option price using the binomial pricing model. Be sure to sketch the binomial lattice. SHOW YOUR WORK

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