The risk-free interest rate is 8 per annum with continuous, Financial Management

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The risk-free interest rate is 8 per annum with continuous

A stock price is currently $100. Over each of the next two 6-month periods it is expected to go up by 10% or down by 10%.

The risk-free interest rate is 8% per annum with continuous compounding. What is the value of a 1-year European call option with a strike price of $100?

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Financial Management: The risk-free interest rate is 8 per annum with continuous

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Financial Management: The risk-free interest rate is 8 per annum with continuous

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