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Use the binomial option pricing model to determine the price of this call option. Round final answer to two decimals. Strike price (K) $ 30.00
Use the binomial option pricing model to determine the price of this call option. Round final answer to two decimals.
| Strike price (K) | $ 30.00 |
| Stock price (S) | $ 50.00 |
| Stock price up (SU) | $ 90.00 |
| Stock price down (SD) | $ 70.00 |
| Risk-free rate (rf) | 5% |
| Time to expiration in years | 1.00 |
| Call payoff up (CU) | |
| Call payoff down (CD) | |
| D | |
| B | |
| Call premium |
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The Routledge Handbook Of State Owned Enterprises
Authors: Luc Bernier, Massimo Florio, Philippe Bance
1st Edition
1138487694, 978-1138487697
