The current price of Estelle Corporation stock is . In each of the next two years, this stock price will either go up by or go down by . The stock pays no dividends. The one-year risk-free interest rate is 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 .
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The current price of Estelle Corporation stock is . In each of the next two years, this stock price...
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