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Build a 2 STEPS binomial tree where a stock price currently at $14 is expected...

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Finance

Build a 2 STEPS binomial tree where a stock price currently at $14 is expected to go up by 11% and down by 11% at each of the two consecutive three-month periods. The risk-free rate at 1% per annum. Find the values of the European Put with a strike price of 11E? If it was an American Put, Should we exercise it prior to maturity?

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