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Over the coming year, Ragwort's stock price will halve to $65 from its current level of $130 or it will rise to $260. The one-year interest rate is 9% a. What is the delta of a one-year call option on Ragwort stock with an exercise price of $130 ? (Round your answer to 4 decimal places.) b. Given the delta computed in part (a), how much would be borrowed if the replicating-portfolio method was used to value the call option? (Do not round intermediate calculations. Round your answer to 2 decimal places.) c. In a risk-neutral world, what is the probability that Ragwort stock will rise in price? (Round your answer to 2 decimal places.) d. Using the risk-neutral method, what is the value of the call option? (Do not round intermediate calculations. Round your answer to 2 decimal places.) e. If someone told you that in reality there is a 60% chance that Ragwort's stock price will rise to $260, would you change your view about the value of the option

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