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A Stock Is Currently Priced at $45

question 53

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A stock is currently priced at $45. A call option with an expiration of one year has an exercise price of $60. The risk-free rate is 14 percent per year, compounded continuously, and the standard deviation of the stock's return is infinitely large. What is the price of the call option?


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A state of gained wisdom and understanding of the universe's nature, often considered as a significant spiritual or religious pinnacle.

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A research method in which subjects are observed in their natural environment without any manipulation by the researcher.

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