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A call option on Juniper Corp. stock with an exercise price of $30 and an expiration date one year from now is worth $8.50 today. A put option on Juniper Corp. stock with an exercise price of $30 and an expiration date one year from now is worth $3.75 today. The risk-free rate of return is 5% and Jumper Corp. pays no dividends. The stock should be worth what today?

Financial Management, Finance

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