Consider a two-period binomial model for a stock with current price being $2 and with the up movement u = 2 and the down movement d = 1/2. If the interest rate per period is 25%, then price of the European put option with a strike price of $2.5 is given by 25 cents 33 cents 48 cents 67 cents Suppose you need to payoff a student loan of $15,000. You are allowed to pay $10,000 today and $10,000 at the end of ten years. If the nominal continuously compounded interest rate is 10%, then the amount you are paying is effectively more than $15,000 True False