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An investor wants to purchase a stock that sells for $48. What is the value...

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Finance

An investor wants to purchase a stock that sells for $48. What is the value of a one-year put option to buy the stock at $45, if debt currently yields 8% and the standard deviation of stock returns is 11%? a. $3.84 b. $6.68 c. $5.28 d. $3.00

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