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A stock price is currently 55 the stock price is expected

A stock price is currently $55. The stock price is expected to increase by 20% or decrease by 15% every year. The risk-free rate is 7% per annum with continuous compounding. Using the two-step binomial tree, find the price of its two-year European call option with a strike price of $59.

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Macroeconomics: A stock price is currently 55 the stock price is expected

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