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Calculate the arbitrage-free price of the european

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Reference no: EM133215263

Suppose there is a European call option on stock A with strike price X=1.3, which you may exercise in two periods. Its current fair price is 0.1. The risk free interest rate is 0.05. The current price of stock A is 1. Calculate the arbitrage-free price of the European put optign with the same strike price. (Round your answer to 2 decimal places)

Reference no: EM133215263

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