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The return on Wemakeitup News Corp. stock is binomially distributed being either up 20%, or down 20%, each period. Assume there are a) Show the

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The return on Wemakeitup News Corp. stock is binomially distributed being either up 20%, or down 20%, each period. Assume there are a) Show the implied 2 period pattern (t0,t1,12) of future stock prices, and find the risk neutral probability of an up move. b) determine the present value of a two period Wemakeltup News Corp. stock AMERICAN CALL that expires in period 12 and whose strike determine the present value of a two period Wemakeltup News Corp, stock AMERICAN PUT that expires in period t2 and whose initial strike price is $5S/share

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