Question: Consider a two period Binomial Model. If the current stock price of $60 and the risk-free rate is 5%. For each period the stock can

Consider a two period Binomial Model. If the current stock price of $60 and the risk-free rate is 5%. For each period the stock can go up by 25% and down by 15%. The exercise price of this call option is $59.

A) Find the sequence of stock prices for the two periods?

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