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The time-t price of a stock within the Black-Scholes framework is S(t). You are given:(i)...

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The time-t price of a stock within the Black-Scholes framework is S(t). You are given:(i) The stock pays continuous dividends at an annual rate of 0.02.(ii) The stock's volatility is 0.3.(iii) The continuously compounded risk-free interest rate is 0.06.(iv) S(0)=50A claim on the stock pays (S(2) - 50). Calculate the price of the claim at 0.

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