A stock price is currently $90. It is known that at the end of six months it will be either $80 or $120 with equal probability (no other outcome is possible). No dividends are expected before the maturity of the option. The risk-free interest rate is 5% per annum with continuous compounding. 1. Calculate the risk-neutral probability. Round your answer to 3 decimal places. 2. Use risk-neutral pricing to value a 6-month European call option on this stock with a strike price of $70. Round your answer to 3 decimal places. 3. Use risk-neutral pricing to value a 6-month European put option on this stock with a strike price of $100. Round your answer to 3 decimal places