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This is a binomial option valuation question. The future stock price is either 8 7 or 1 1 5 . The current stock price and

This is a binomial option valuation question. The future stock price is either

87

115 .

The current stock price and the riskfree rate are unknown. A call option on the stock with

strike price

98

has a current value of

6 .

Then the currrent value of a call option on the stock with strike price

103

decimal places.

)

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