Let S1,S2,S3 and S4 denote the share price at the end of the third, sixth, ninth and twelfth months respectively. An 'average rate' Asian derivative, which matures in 12 months' time, is written on this stock with a payoff function as follows: Payoff =max(0,21(S3+S4)21(S1+S2)) Consider the path UDDU. For this specific path, the payoff to the Asian derivative is Consider the path UUUD. For this specific path, the payoff to the Asian derivative is