Question: Using the 1-period binomial method you have found the price of a 1-year call option is $20.74. However, using the 20-period binomial method, you have

Using the 1-period binomial method you have found the price of a 1-year call option is $20.74. However, using the 20-period binomial method, you have found the price of a 1-year call option is $17.35. Using the 40-period binomial method, you have found the price of a 1-year call option is $17.29. Which of the price is closer to the B-S call price?

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