Question: (1 point) For all problems in this section, use the binomial tree model. Unless otherwise stated, assume no arbitrage. A stock is currently priced at

 (1 point) For all problems in this section, use the binomial

(1 point) For all problems in this section, use the binomial tree model. Unless otherwise stated, assume no arbitrage. A stock is currently priced at $34.00. In 12 months, its price will be either $38.42 or $36.21. Find the range of the risk-free rate such that this model has no arbitrage opportunities

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