Given the following parameters use risk-neutral valuation


Given the following parameters use risk-neutral valuation to value a call option. Current stock price: $85.00 Stock will increase or decrease next year by: 15 pct. Call Option strike price: $82.00 Time to expiration: 1 year Risk free rate: 8 pct. POSSIBLE ANSWERS: Value of call: $9.07 Value of call: $14.58 Value of call: $11.18

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Financial Management: Given the following parameters use risk-neutral valuation
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