Question: Repeat the previous problem calculating prices for American options instead of European. What happens? In previous problem a. What is the price of a European

Repeat the previous problem calculating prices for American options instead of European. What happens?
In previous problem
a. What is the price of a European call option with a strike of $95?
b. What is the price of a European put option with a strike of $95?
c. Now let S = $95, K = $100, σ = 30%, r = 3%, and δ = 5%. (You have exchanged values for the stock price and and for the interest rate and yield.) Value both options again. What do you notice?

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