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A stock currently sells at 100. At the end of one year it will either go up to 105 or down to 95. Calculate the

A stock currently sells at 100. At the end of one year it will either go up to 105 or down to 95. Calculate the price of a call option with a strike price of 100 and expiration one year using the binomial model. The risk-free rate is 10% per year. Are there any arbitrage opportunities? Explain fully.

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