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Consider a 1-year option with exercise price $40 on a stock with annual standard deviation 15%. The T-bill rate is 2% per year. Find N(d1)
Consider a 1-year option with exercise price $40 on a stock with annual standard deviation 15%. The T-bill rate is 2% per year. Find N(d1) for stock prices $35, $40, and $45.
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