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(d) You are given the following. Then find the premium of a 1-year dollar denominated European call option on yen with strike $0.01. 1. A
(d) You are given the following. Then find the premium of a 1-year dollar denominated European call option on yen with strike $0.01. 1. A 1-year dollar denominated European put option on yen with strike $0.01 costs $0.005. 2. The spot exchange rate is 105/$1. 3. The continuously compounded risk-free rate in yen is 0.2%. 4. The continuously compounded risk-free rate in dollar is 2.5%
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