Question: need 2 and 3 only, don't copy the existing answer as they are incorrect I think 6. Consider the following binomial tree. The interest rate

need 2 and 3 only, don't copy the existing answer as they are incorrect I think

6. Consider the following binomial tree. The interest rate is 0.2% per month. Now 1 Months Later 2 Months Later U'S=133.10 - - Sq=121.00 Si=110.00 = uds=110.00 - dSq=100.00 a d's,=90.91 (1) Use the tree to price a put option maturing in 1 month with strike price equal to 108. (2) If I sell one contract of this put option, what is my maximum profit and maximum loss? (3) Use the tree to price a call option maturing in 2 months with strike price equal to 103

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