Calculate the Hedge Ratio and Value of the Option using the Bionomial Option Model applying the Hedge Ratio method (Not the Leverage or Borowing method)
Parameters	Current Stock Price	Increase / Decrease Factors (f) (u and d)	Stock x factor	Call Option Payoff if Exercised
Current Price=	$ 140.00
Up factor (u) =		1.25x
Down factor (d) =		0.85x
Range =
Exercise Call Option =	$ 147.00
Interest Rate =	10%
Exercise time =	1	years
Hedge Ratio (H) =
Portfolio Hedging - Use the Hedge Ratio to price the Call Value
Share per option =
Written option would have an end-of-year value with certainty =
PV =
Set Value of the hedged position equal to the PV of certain payoff =
Call's Value =