Previous answer is wrong please check the calculations The price of Profile, Inc , stock will be either $84 or $106 at the end of the year Call options are available with one year to expiration T bills currently yield 4 percent a Suppose the current price of the stock is $95 What is the value of the call option if the exercise price is $80 per share (Do not round intermediate calculations and round your answer to 2 decimal places, e g , 32 16 ) b Suppose the current price of the stock is $95 What is the value of the call option if the exercise price is $90 per share (Do not round intermediate calculations and round your answer to 2 decimal places, e g , 32 16 )

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Question: Previous answer is wrong please check the calculations. The price of Profile, Inc., stock will be either $84 or $106 at the end of the

Previous answer is wrong please check the calculations.

The price of Profile, Inc., stock will be either $84 or $106 at the end of the year. Call options are available with one year to expiration. T-bills currently yield 4 percent.

a.	Suppose the current price of the stock is $95. What is the value of the call option if the exercise price is $80 per share? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
b.	Suppose the current price of the stock is $95. What is the value of the call option if the exercise price is $90 per share? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

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