How will the prices of call options on a and b struck

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Assets A and B are worth 100 today. Asset A will be worth 110 tomorrow with probability 0.9 and 90 otherwise. Asset B will be worth 110 with probability 0.5 and 90 otherwise. Asset C is worth 1 both today and tomorrow. How will the prices of call options on A and B struck at 100 compare?

Reference no: EM131168921

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