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Price a 6 month American call option with strike price 1100, written on a 2 year futures contract on oil. Volatility is 18%. Interest rates
Price a 6 month American call option with strike price 1100, written on a 2 year futures contract on oil. Volatility is 18%. Interest rates are 5% (with continuous compounding). The current futures price is 1050. Use a two step binomial tree to solve, with 3 month time steps
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