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Business, 16.04.2020 17:31 brydenskl814

The price of Cilantro, Inc., stock will be either $70 or $92 at the end of the year. Call options are available with one year to expiration. T-bills currently yield 5 percent. a. Suppose the current price of the company's stock is $81.

What is the value of the call option if the exercise price is $66 per share?

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