6. option pricing Multiperiod binomial approach Aa Aa E The value of an option can be calculated by using a step-by-step approach in the case of single periods or by using sophisticated formulas that can be easily created through a spreadsheet. In the real world, two possible outcomes for a stock price in six months is an assumption. The stock markets are volatile, and stocks move up and down based on market- and firm-specific factors Use the following formula to calculate the value of any call option within the same time period. To use the formula for different ca options, you can solve this formula with algebra or program it into a spreadsheet Cut[1 rRF 365)365/(t) dly Cafu [1 rRF 365)365/(t)]> Vic [1 (rRF 365)] 365 (t) Based on your understanding of the binomial option pricing model, is the following statement true or false? CU and Cd are the only variables that directly depend on the option itself. O True O False You have the following information about LearnMore Inc.'s stock and a two-month call option with a strike price of $115.20. LearnMore Inc.'s current stock price is $96.00. You are using the multiperiod binomial option pricing model to find the value of the two-month option with two periods. TTu and TTd values given here apply to any period. Data Collected for Learn More Inc