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DIGITAL OPTIONS a) What is the price of an American-style call option assuming a 4% annua strike price = $150, and 3 years to maturity.

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DIGITAL OPTIONS a) What is the price of an American-style call option assuming a 4% annua strike price = $150, and 3 years to maturity. In each year the price can ei factor of 1.3 or fall by a factor of 0.9. The current price of the underlying and it pays no dividends. (8 marks)

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