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Consider an investor who buys stock XYZ when the ask price is $25.00. Additionally, the bid ask spread is $0.55 and the commission is y%.

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Consider an investor who buys stock XYZ when the ask price is $25.00. Additionally, the bid ask spread is $0.55 and the commission is y%. The risk free rate, compounded continuously, is 5%. The investor keeps the stock for 1.5 years then sells it when the ask price of stock XYZ changes to $32.00 and the bid ask spread remains the same. The profit per share is $4.00 Calculate y (the commission)

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