Question: See below: Exercise 15 (Chapter 5) Suppose you pay 6H6 to lou),r a European (K = 100,t = %) put option on a given security.

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Exercise 15 (Chapter 5) Suppose you pay 6H6 to lou),r a European (K = 100,t = %) put option on a given security. Assuming a nominal annual interest rate of 3 percent, compounded monthly, find the present vaiue of your return from this investment if a. 81%) = 102: b.S{%) =93

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