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Finance 36. The share value of Drummond, Griffin and McNabb, a New Orleans publishing house, is currently trading at $100.00 but is expected, 90 days

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36. The share value of Drummond, Griffin and McNabb, a New Orleans publishing house, is currently trading at $100.00 but is expected, 90 days from today, to rise to $150.00 or to decline to $50.00, depending on critical reviews of its new biography of Ezra Pound. Assuming the risk-free interest rate over the next 90 days is 1%, can you value a European call option written on a share of DGM stock if the option carries an exercise price of $85.00

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