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A stock price is currently $50.50. It is known that at the end of six month, it will be either $58 or $41. The risk-free

A stock price is currently $50.50. It is known that at the end of six month, it will be either $58 or $41. The risk-free rate of interest with continuous compounding is 5% per annum. Calculate the value of a 12 month European call option on the stock with an exercise price of $50

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