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estion 6: Option Pricing Replicating Portfolio You try to price the call option on XYZ corp. The current stock price of Yerzissioolshare The risk-free rate

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estion 6: Option Pricing Replicating Portfolio You try to price the call option on XYZ corp. The current stock price of Yerzissioolshare The risk-free rate is 3%. What is the appropriate price of the 1 year cal opwon of KHLcovwoh a strike price of $110 using replicating portfolio approach? You proyectthe stock prvee of either be $100 or S140 in a year. Assume you can borrow or lend money at risk-Asee Tales

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