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Use the Blacks model to value a 1-year European put option on a 10-year bond. Assume that the current value of the bond is $112,

Use the Blacks model to value a 1-year European put option on a 10-year bond. Assume that the current value of the bond is $112, the strike price is $113, the 1-year interest rate is 10% per annum, the bonds forward price volatility is 15% per annum, and the present value of the coupons to be paid during the life of the option is $7.

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