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Problem 3.1 (2 points) Consider three options all on the same underlying asset S, and the same maturity date T: A vanilla call option with
Problem 3.1 (2 points) Consider three options all on the same underlying asset S, and the same maturity date T: A vanilla call option with Strike Kwhose current price is 10$, A knock-out barrier call option whose payoff ST - K is only provided if the stock price never reaches the threshold B throughout the if of the option, where B
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