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Find the present value of your return from the investment

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Question 1: Suppose you pay 10 to buy a European (K=100, t=2) call option on a given security. Assuming a continuously compounded nominal annual interest rate of 6 percent, find the present value of your return from this investment if the price of the security at time 2 is 110 and 98

Reference no: EM132494465

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