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Suppose a share of stock sells for $ 6 3 . The risk - free rate is 6 percent, and the stock price in one
Suppose a share of stock sells for $ The riskfree rate is percent, and the stock price in one year will be either $ or $
a
What is the value of a call option with an exercise price of $
b Calculate the minimum return on the stock required to get the option in the money.
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