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a) Draw the graph for the price of a European 1-year 5-strike call option as a function of the current stock price, So. b) Draw

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a) Draw the graph for the price of a European 1-year 5-strike call option as a function of the current stock price, So.

b) Draw the graph for the price of an American 6-month 10-strike put option as a function of the current stock price, So.

You are given: (i) Stock S pays no dividends. (ii) The continuously compounded risk-free interest rate is 10%. You are given: (i) Stock S pays no dividends. (ii) The continuously compounded risk-free interest rate is 10%

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