Boeings stock (NYSE: BA) currently trades at $330.82. In a year, it will trade at either $350.87 or at $312.61. Risk-free rate is 3.20%

Using a Binomial Option Pricing Model, compute fair value of a put option with a strike price of $320.00 and one year till expiration.

Question 64. [5 marks] Boeing's stock (NYSE: BA) currently trades at $330.82. In a year, it will trade at either $350.87 or at $312.61. Risk-free rate is 3.20% Using a Binomial Option Pricing Model, compute fair value of a put option with a strike price of $320.00 and one year till expiration