Question: 4.2.1-4. Set up a one-period binomial tree for a put option in an Excel spreadsheet. Use the following information about the underlying stock price and

4.2.1-4. Set up a one-period binomial tree for a put option in an Excel spreadsheet. Use the following information about the underlying stock price and the risk-free interest rate. What is the current value of the hedge portfolio? Does it grow at a risk-free rate over time? Sto = 59 X = 60 u = 1.15 d = 0.85 r = 0.05

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