PS7: Chapter 21 0 Saved Help Save & Exit Check 12 Problem 21-36 10 points You are attempting to value a call option with an exercise price of $106 and one year to expiration. The underlying stock pays no dividends, its current price is $106, and you believe it has a 50% chance of increasing to $125 and a 50% chance of decreasing to $87. The risk-free rate of interest is 8%. Calculate the call option's value using the two-state stock price model. (Do not round intermediate calculations. Round your final answer to 2 decimal places.) 8 02:16:16 Call option's value eBook This is a numeric cell, so please enter numbers only