A one-year call option contract on cheesy poofs co stock, Ask an Expert

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A one-year call option contract on Cheesy Poofs Co. stock sells for $1,310. In one year, the stock will be worth $63 or $84 per share. The exercise price on the call option is $76. What is the current value of the stock if the risk-free rate is 4 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M91788083

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