A stock price is currently $$80.$ Over each of the next two three$-$month periods it is expected to go up by $6\%$ or down by $5\%.$ The risk$-$free interest rate is $5\%$ per annum with continuous compounding. You want to determine the value of a six$-$month European put option with a strike price of $$80.$ Please keep two decimal places

two step binomial model.jpg

$1))$What is the stock value at node B$?$Blank $1($sample answer: $$55\mathrm{.}65)$

$2)$What is the stock value at node D$?$Blank $2($sample answer: $$55\mathrm{.}65)$

$3)$What is the stock value at node E$?$Blank $3($sample answer: $$55\mathrm{.}65)$

$4)$What is the option payoff at node D$?$Blank $4($sample answer: $$55\mathrm{.}65)$

$5)$What is the option payoff at node E$?$Blank $5($sample answer: $$55\mathrm{.}65)$

$6)$What is the option payoff at node F$?$Blank $6($sample answer: $$55\mathrm{.}65)$

$7)$What is the three month risk neutral probability?Blank $7($sample answer: $55\mathrm{.}65\%)$

$8)$What is the option value at node B$?$Blank $8($sample answer: $$55\mathrm{.}65)$

$9)$What is the option value at node C$?$Blank $9($sample answer: $$55\mathrm{.}65)$

$10)$What is the option value at node A$?$Blank $10($sample answer: $$55\mathrm{.}65)$