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The current price of a non-dividend paying stock is $50. Use a two-step tree to value a European put option on the stock with a
The current price of a non-dividend paying stock is $50. Use a two-step tree to value a European put option on the stock with a strike price of $48 that expires in 6 months. Each step is 3 months, the risk-free rate is 4%, and u = 1.1 and d = 0.9. Please enter your answer rounded to two decimal places (and no dollar sign).
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