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3. Consider 10 scenarios from a simulation for a stock over a 5-year period. Risk-free rates are flat at 5%. - Value a knock in
3. Consider 10 scenarios from a simulation for a stock over a 5-year period. Risk-free rates are flat at 5%. - Value a knock in 5-year call option with 100 strike where the option is activated if the stock price is over 130 at any point? - Value a separate option where the payoff is 100 anytime the stock is less than 70 at the end of any year? (Note there can be multiple payoffs per trial)
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