a. Calculate the current price of a European put option based on this stock. The...

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Finance

a. Calculate the current price of a European put option based on this stock. The option has 2 years to maturity and a strike price of $100.

b. Calculate the current price of an American put option based on this stock. The option has 2 years to maturity and a strike price of $100. What is the value of early exercise possibility?image

Part C (2 Questions): 1. The following diagram represents a possible stock price movement for the next two years. One step is 1 year. Current stock price is $100 and risk-free rate is 4%. $144 $120 $100 $96 $80 $64 1st year 2nd year

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