Question: Dont copy from other chegg wrong answer to me!!!!!!! Suppose S = $100, K = $95, r = 8% (continuously compounded), t = 1, 0

Dont copy from other chegg wrong answer to me!!!!!!!

Dont copy from other chegg wrong answer to me!!!!!!! Suppose S =

Suppose S = $100, K = $95, r = 8% (continuously compounded), t = 1, 0 = 30%, and 8 = 5%. Use an eight-period lognormal binomial tree to answer the following questions. You can also use Excel for this question. If you do so, please upload the Excel file separately with the detailed calculations. (a) Construct the stock tree. (b) Compute the prices of an European call option. (c) Compute the prices of an American put option. Suppose S = $100, K = $95, r = 8% (continuously compounded), t = 1, 0 = 30%, and 8 = 5%. Use an eight-period lognormal binomial tree to answer the following questions. You can also use Excel for this question. If you do so, please upload the Excel file separately with the detailed calculations. (a) Construct the stock tree. (b) Compute the prices of an European call option. (c) Compute the prices of an American put option

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