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The possible stock prices for XYZ Corporation over the next two years are: Year. 0S=50P=Pu=Sd=40Pd=SUuPUu=60Sud=50Pud=Pdd=2=70Sdd=30 The risk-free interest rate is 10% per year and the

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The possible stock prices for XYZ Corporation over the next two years are: Year. 0S=50P=Pu=Sd=40Pd=SUuPUu=60Sud=50Pud=Pdd=2=70Sdd=30 The risk-free interest rate is 10% per year and the stock pays no dividends. Consider a European put with an exercise price of $50 and a time to expiration of 2 years. Construct a synthetic bond with the stock and put in year 0 and compute the implied interest rate. Click Save and Submit to save and submit. Click Save All Answers to satk all answers

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