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The price of Cilantro, Incorporated, stock will be either $ 6 0 or $ 8 5 at the end of the year. Call options are

The price of Cilantro, Incorporated, stock will be either $60 or
$85 at the end of the year. Call options are available with one
year to expiration. T-bills currently yield 5 percent.Suppose the current price of the company's stock is $75. What is
the value of the call option if the exercise price is $45 per
share?

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