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Question #4 Consider an option on a non-dividend paying stock when the stock price is $26, the exercise price is $27.5, the risk-free rate is

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Question #4 Consider an option on a non-dividend paying stock when the stock price is $26, the exercise price is $27.5, the risk-free rate is 4% per annum, the volatility is 25% per anhum, and the time to maturity is 8 months. What are prices of European put and call options on the stock? For the toolbar, pross ALTF10 PC) or ALTFN.F10 (Mac) BIVS Paragraph Arial 14px I. A

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