he current price of Natasha Corporation stock is $6.00. In each of the next two years, this stock price can either go up by 2.50 or go down by $2.00. The stock pays no dividends. The one-year risk-free interest rate is 3.0% and will remain onstant. Using the Binomial Model, calculate the price of a two-year call option on Natasha stock with a strike price of ".00. he price of the two-year call option is $ (Round to the nearest cent.)
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- The current price of Natasha Corporation stock is $6.39. In each of the next two years, this stock price can either go up by $2.50 or go down by $2.00. The stock pays no dividends. The one-year risk-free interest rate is 3.4% and will remain constant. Using the Binomial Model, calculate the price of a two-year call option on Natasha stock with a strike price of $7.00.The current price of Natasha Corporation stock is $6.27. In each of the next two years, this stock price can either go up by $2.50 or go down by $2.00. The stock pays no dividends. The one-year risk-free interest rate is 4.4% and will remain constant. Using the Binomial Model, calculate the price of a two-year put option on Natasha stock with a strike price of $7.00. The price of the two-year put is $ (Round to the nearest cent.) CThe current price of Natasha Corporation stock is $5.68. In each of the next two years, this stock price can either go up by $2.50 or go down by $2.00. The stock pays no dividends. The one-year risk-free interest rate is 3.8% and will remain constant. Using the Binomial Model, calculate the price of a two-year put option on Natasha stock with a strike price of $7.00. The price of the two-year put is $ (Round to the nearest cent.)
- The current price of MMX Corporation stock is $10. In each of the next two years, this stock price can either go up by $3.00 or go down by $2.00. MMX stock pays no dividends. The one-year risk-free interest rate is 5% and will remain constant. Using the binomial pricing model, calculate the price of a two-year call option on MMX stock with a strike price of $9. PLease answer with solutionIn excel, please solve the following problem... The current price of Natasha Corporation stock is $ 5.92. In each of the next two years, this stock price can either go up by $2.50 or go down by $ 2.00. The stock pays no dividends. The one-year risk - free interest rate is 3.7% and will remain constant. Using the Binomial Model, calculate the price of a two-year call option on Natasha stock with a strike price of $7.00. What is the price of the two year call option?The current price of Estelle Corporation stock is $23.00. In each of the next two years, this stock price will either go up by 23% or go down by 23%. The stock pays no dividends. The one-year risk-free interest rate is 5.0% and will remain constant. Using the Binomial Model, calculate the price of a one-year call option on Estelle stock with a strike price of $23.00.
- The current price of Estelle Corporation stock is $25. In each of the next two years, this stock price will either go up by 20% or go down by 20%. The stock pays no dividends. The one-year risk-free interest rate is 6% and will remain constant. Using the Binomial Model, calculate the price of a one-year call option on Estelle stock with a strike price of $25.The current price of XL Corporation stock is $40. In each of the next two years, this stock price can either go up by $15.00 or go down by $15.00. XL stock pays no dividends. The one-year risk-free interest rate is 15% and will remain constant. Using the binomial pricing model, calculate the price of a two-year American put option on XL stock with a strike price of $40.The current price of XL Corporation stock is $40. In each of the next two years, this stock price can either go up by $15.00 or go down by $15.00. XL stock pays no dividends. The one-year risk-free interest rate is 15% and will remain constant. Using the binomial pricing model, calculate the price of a two-year American straddle option on XL stock with a strike price of $40.
- The current price of KD Industries stock is $20. In the next year the stock price will either go up by 20% or go down by 20%. KD pays no dividends. The one year risk-free rate is 5% and will remain constant. Using the binomial pricing model, the calculated price of a one-year call option on KD stock with a strike price of $20 is closest to:The current price of KD Industries stock is $20. In the next year the stock price will either go up by 20% or go down by 20%. KD pays no dividends. The one-year risk-free rate is 5% and will remain constant. Using the binomial pricing model, the calculated price of a one-year put option on KD stock with a strike price of $20 is closest to:The current price of a stock is $22, and at the end of one year its price will be either $29 or $15. The annual risk-free rate is 3%, based on daily compounding. A 1-year call option on the stock, with an exercise price of $22, is available. Based on the binominal model, what is the option's value?