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For each independent scenario below, discuss which security should sell at a greater price? (a) A 6- month European call option with a strike price

For each independent scenario below, discuss which security should sell at a greater price? (a) A 6- month European call option with a strike price of $60 or a 6-month European call on the same stock with an exercise price of $55? (3 marks) (b) A 20-year Treasury bond with a 6.5% coupon rate or a 20-year Treasury bond with a 7.5% coupon rate?

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