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3. (10 points) The market price of a European Call, with strike K = $20 and which is 3 months from maturity, is $1.9. If

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3. (10 points) The market price of a European Call, with strike K = $20 and which is 3 months from maturity, is $1.9. If the current stock price of the underlying stock is $21 and the risk free interest rate is 10%, find the implied volatility of the call option. (Stop after two iterations of the Newton-Raphson method, take your initial o guess to be 0.2.)

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