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The domestic and foreign risk-free interest rates are 6

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A currency is currently worth $0.80. Over each of the next 2 months it is expected to increase or decrease in value by 2%. The domestic and foreign risk-free interest rates are 6% and 8%, respectively. What is the value of a 2-month European call option with a strike price of $0.80?

Reference no: EM13590358

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