What is the value of a put option with strike price

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Reference no: EM131925050

IBM stock currently sells for 84 dollars per share. Over 8 months the price will either go up by 7.5 percent or down by -3.0 percent.

The risk-free rate of interest is 4.5 percent continuously compounded.

What is the value of a put option with strike price 83 and maturity of 8 months?

Reference no: EM131925050

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