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please do it in 10 minutes will upvote (10 marks) (c) The price of an American call on a non-dividend-paying stock is $4. The stock
please do it in 10 minutes will upvote
(10 marks) (c) The price of an American call on a non-dividend-paying stock is $4. The stock price is $31, the strike price is $30, and the expiration date is in three months. The risk-free interest rate is 8%. Derive upper and lower bounds for the price of an American put on the same stock with the same strike price and expiration date (10 marks) (Total: 40 marks)Step by Step Solution
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