Question: There is no correct answer out there. Please help me answer it correctly. Thanks 10.9. The current spot price of a stock is $20, the

There is no correct answer out there. Please help me answer itThere is no correct answer out there. Please help me answer it correctly. Thanks

10.9. The current spot price of a stock is $20, the expected rate of return of the stock is 10%, and the volatility of the stock is 25%. The risk-free rate is 4%. Compute the price of a derivative whose payoff in 4 months is In((S4/12)5) + (S4/12)0.411 + 32 where S4/12 is the stock price in 4 months. 10.9. The current spot price of a stock is $20, the expected rate of return of the stock is 10%, and the volatility of the stock is 25%. The risk-free rate is 4%. Compute the price of a derivative whose payoff in 4 months is In((S4/12)5) + (S4/12)0.411 + 32 where S4/12 is the stock price in 4 months

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