Using Black Scholes Merton Binomial lOe.xlsm, compute the call and put prices for a stock option, where

Question:

Using Black Scholes Merton Binomial lOe.xlsm, compute the call and put prices for a stock option, where the current stock price is $100, the exercise price is $100, the risk-free interest rate is 5 percent (continuously compounded), the volatility is 30 percent, and the time to expiration is one year. Explain how you would create a synthetic call option and identify the cost?