A B 1 Exercise question for option pricing 2 3 So 20 4 X 21 5 T 0.5 6 interest rate 5.50% 7 Risk free interest rate 5.50% 8 0.10 9 Stdev Prob of up Prob of down 0.10 10 0.10 11 12 13 14 15 16 Sheet1 + D E F G H 1 Compute d1 and d2 of B&S model 2 B&S call option 3 Call option payoffs of Binomial model 4 Put option payoffs of Binomial model 5 Call and put option prices of binomial model 6 Put call parity for both models I J K L M N O PA A B 1 Exercise question for option pricing 2 3 So 20 4 X 21 5 T 0.5 6 interest rate 5.50% 7 Risk free interest rate 5.50% 8 0.10 9 Stdev Prob of up Prob of down 0.10 10 0.10 11 12 13 14 15 16 Sheet1 + D E F G H 1 Compute d1 and d2 of B&S model 2 B&S call option 3 Call option payoffs of Binomial model 4 Put option payoffs of Binomial model 5 Call and put option prices of binomial model 6 Put call parity for both models I J K L M N O PA