Question: 4. Consider a three-step binomial tree with parameters: So $4, u 2, d = , r = 0.25. Determine the value of (a) An European

4. Consider a three-step binomial tree with parameters: So $4, u 2, d = , r = 0.25. Determine the value of (a) An European put option struck at K (b) An American put option struck at K (c) An European call option struck at K (d) An American call option struck at K $10 on the last time step. $10 on the last time step. $10 on the last time step. $10 on the last time step

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