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An American put with strike $32 and expiry in two time-steps is currently available. In Cox-RossRubenstein notation the underlying asset has S=31,u=1.3 and d=1/u. The

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An American put with strike $32 and expiry in two time-steps is currently available. In Cox-RossRubenstein notation the underlying asset has S=31,u=1.3 and d=1/u. The return is variable, with R(0,0)=1.06,R(1,1)=1.03 and R(1,0)=1.08. What is a rational value for the premium of this put

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