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A call option on Jupiter Motors stock with an exercise price of $80.00 and one-year expiration...

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Finance

A call option on Jupiter Motors stock with an exercise price of$80.00 and one-year expiration is selling at $7.48. A put option onJupiter stock with an exercise price of $80.00 and one-yearexpiration is selling at $9.12. If the risk-free rate is 3% andJupiter pays no dividends, what should the stock price be?(Do not round intermediate calculations. Round your answerto 2 decimal places.; Use CONTINUOUS COMPOUNDING)

Stock price $        

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You are attempting to value a call option with an exercise priceof $140 and one year to expiration. The underlying stock pays nodividends, its current price is $140, and you believe it has a 50%chance of increasing to $160 and a 50% chance of decreasing to$120. The risk-free rate of interest is 10%. Based upon yourassumptions, calculate your estimate of the the call option's valueusing the two-state stock price model. (Do not roundintermediate calculations. Round your answer to 2 decimalplaces.)  

Value of the call           $   

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make sure the answers for these questions are correct pleaseplease

     

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