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Using dynamic programming, calculate the market value of an American call option on a stock whose current price is equal to $100, with a strike

  1. Using dynamic programming, calculate the market value of an American call option on a stock whose current price is equal to $100, with a strike price equal to $97 and an expiration date in five weeks. The annual volatility rate is = 0.25 and the risk-free interest rate is 3.5%. Use the binomial model with N = 5 periods.

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