Question
Stock Price Payoff State 1, year1 Payoff State 2, year 1 X $25 20 30 Y $17 15 20 State security 1: $1 if state
| Stock | Price | Payoff State 1, year1 | Payoff State 2, year 1 |
| X | $25 | 20 | 30 |
| Y | $17 | 15 | 20 |
State security 1: $1 if state 1 occurs at year 1, and $0 if state 2 occurs.
State security 2: $1 if state 2 occurs at year 1, $0 if state 1 occurs.
Current price of state security 1 is? Current price of state security 2 is?
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Financial Management
Authors: I.M. Pandey
11th Edition
9325982293, 978-9325982291
