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Call option on gold with a strike price

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You decide to buy 1 call option on Gold with a strike price of $1,450 and expiration of 1 year. If you pay a premium of $27.5 today per option and the interest rate per year is 3.4%, how much is your payoff if the spot price of gold in one year is $1,650?

Reference no: EM131772456

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