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3. (12pts) Using a two-period risk-neutral pricing model, find the value today of a 6-month call with strike 50. The risk free rate is 6%,

3. (12pts) Using a two-period risk-neutral pricing model, find the value today of a 6-month call with strike 50. The risk free rate is 6%, and the underlying stock has: =.05, =0.5, S=45.

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