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Want to know why the answer is 24.76 . What the process, thank you 1. An option has a gold futures contract as the underlying

image text in transcribedWant to know why the answer is 24.76 . What the process, thank you
1. An option has a gold futures contract as the underlying asset. The current 1-year gold futures price is $600/oz, the strike price is $620, the continuously compounded risk-free interest rate is 7%, volatility is 12%, and the time to expiration is 1 year. Using a one-period binomial model, find the price of the call. Hint: $24.76

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