Question: You are attempting to value a put option with an exercise price of $ 1 0 7 and one year to expiration. The underlying stock

You are attempting to value a put option with an exercise price of $107 and one year to expiration. The underlying stock pays no dividends, its current price is $107, and you believe it has a 50% chance of increasing to $125 and a 50% chance of decreasing to $89. The risk-free rate of interest is 8%. Calculate the value of a put option with exercise price $107.
Note: Do not round intermediate calculations. Round your answer to 2 decimal places.
Value of a put option
You are attempting to value a put option with an exercise

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