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The current price of a stock is 50. The stock does not pay dividends. the continuously compounded risk free rate is 3%. six month call and put options on the stock are available at strikes of 45 and 48. The difference between the prices of the 48-strike put is .87. find the difference between the prices of the 45-strike call and the 48-strike call.

A. 1.87 B. 2.01 C. 2.09 D. 2.24 E. 2.33

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Financial Management, Finance

Category:- Financial Management
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