Question: In a binomial tree with zero interest rate and no dividend, if at each node the stock price can go up much more than when

In a binomial tree with zero interest rate and no dividend, if at each node the stock price can go up much more than when it goes down, what can we infer about the risk-neutral probability?

a.The risk-neutral probability of going up is higher than 50%.

b.The risk-neutral probability of going down is higher than 50%.

c.The risk-neutral probability of going up is equal to 50%.

d. We cannot infer anything about the risk-neutral probability.

All of the following are variables used to determine a call option's price in a binomial model EXCEPT

	the risk-free rate
	the risk-neutral probability for stock price to go up
	the exercise price
	the actual probability for stock price to go up estimated using historical data

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