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This exercise does the same, but now for Pe(S,t). (a) indS0), What does this partial mean if S increases in value? (b) Find What does

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This exercise does the same, but now for Pe(S,t). (a) indS0), What does this partial mean if S increases in value? (b) Find What does this partial mean should r increase? ie Should r decrease? (c) Find(0, What does this partial mean should the value of increase? (The rnarket is more volatile.) Should decrease? (The market calms down.) (d) Find OPE(St

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