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First calculate the delta of the following option. Then use this delta to ESTIMATE the new price...

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Finance

First calculate the delta of the following option. Then use thisdelta to ESTIMATE the newprice of a European call optionif the stock price increases by $4. Theoption has the following the following initial parameters:

s0 = $40
k = $35
r = 10%
sigma = 20%
T = 0.75 years

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First calculate the delta of the following option. Then use thisdelta to ESTIMATE the newprice of a European call optionif the stock price increases by $4. Theoption has the following the following initial parameters:s0 = $40k = $35r = 10%sigma = 20%T = 0.75 years

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