Bruno's stock is currently selling for $31.74 a share but is expected to increase to either $32 or $37 a share over the next year.The risk-free rate is 3 percent.What is the current value of a 1-year call option with an exercise price of $35?
A) $) 27
B) $) 33
C) $) 64
D) $) 89
E) $) 52
Correct Answer:
Verified
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