Question: 4. In a one-period binomial model, assume that the current stock price is $100, and that it will rise to $115 or fall to $80

4. In a one-period binomial model, assume that the current stock

4. In a one-period binomial model, assume that the current stock price is $100, and that it will rise to $115 or fall to $80 after three months. If risk-free investment has a gross return of 1.005 per three month time-step, what is the best replicating portfolio of one hundred 101-strike three-month put options from the following options? (Use the risk neutral probabilities approach)

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