The current price of a stock is $20, and at the end of one year its price will be either $22 or $18.  The annual risk-free rate is 2.0% (use daily compounding with 365 days/year), based on daily compounding.  A 1-year call option on the stock, with an exercise price of $19, is available.  Based on the binominal model, what is the option's value?(Please Show Work)

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Treasury Market

On-the-run securities are the most recently issued securities in the market depth and are therefore traded at some premium. The off-the-run securities are the ones issued just before the most recent ones. The on-the-run securities have a lower yield to the investor than the off-the-run securities.