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Please Ignore what I have chosen, please help me choose the right one and give me an explanation, please. Question 5 1 pts An American
Please Ignore what I have chosen, please help me choose the right one and give me an explanation, please.
Question 5 1 pts An American put has underlying asset described by CRR notation S = 20, u = 1.2 and d = 0.9. This put has strike $20 and expires in two time steps. For return R= 1.1 and risk-neutral probability 1 = 2/3, what is the premium of this put? $1.3958 O $4.1322 $0.3489 $0.6061Step by Step Solution
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