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You must decide between buying a 1-year European Call option on a certain stock. You...

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Finance

You must decide between buying a 1-year European Call option on a certain stock. You have the choice of a strike of 80 or 100, with all other characteristics being the same. Explain in a small paragraph which of the two is the most expensive contract and why? Does your answer change if the option is a Put option instead and why?

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