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Consider pricing European options on a stock with an initial price of $142 and a strike price of $142. The options mature in 9 months,

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Consider pricing European options on a stock with an initial price of $142 and a strike price of $142. The options mature in 9 months, and the risk-free rate of interest is 4.50% per annum. The volatility is o = 0.16. If a 70 period binomial tree is to be used, then the up move, u, in the stock price using the Jarrow-Rudd (JR) solution is: 0.98357 O 1.01670 0.98391 1.01705

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