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Barnes Plcs current share price is 56 pence. It could go up by 10% or down by 4%. The risk-free rate of return is 2%.

Barnes Plcs current share price is 56 pence. It could go up by 10% or down by 4%. The risk-free rate of return is 2%.

Use the Binomial option pricing model to calculate the price of a one-year call option for Barnes Plc, with a strike price of 58 pence.

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