Suppose that the current price of stock A is $70 per share and the price follows the jump diffusion model in Eq. (6.26). Assume that the risk-free interest rate is 8% per annum, the stock pays no dividend, and its volatility (σ) is 30% per annum. In addition, the price on average has about 15 jumps per year with average jump size

−2% and jump volatility 3%. What is the price of a European call option with strike price $75 that will expire in 3 months? What is the price of the corresponding European put option?