2. A 2-month American call option on a stock has an exercise price of 280. The current stock price is 290. The continuously compounded riskfree interest rate is 4% per year and the volatility of the stock price is 20%. A dividend of 10 will be paid next month. Divide the two months into two 1-month time intervals and use the binomial model to compute today's call price. Assume that the 20% volatility refers to the stock price less the dividend so that we can use a = 0.20 to compute u and d)