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Part 1 : What is the value of this option in Year 1 ( t = 1 ) in the down state ( where the

Part 1:
What is the value of this option in Year 1(t=1) in the down state (where the stock price is $80)?
Hint: use the replicating portfolio method from lecture.
[Please enter your answer in dollars, without the $ sign, with at least two decimals of precision. For example, enter $1 as 1.00.]
Part 2:
What is the value of this option in Year 0? Note this option will expire (pay out) in Year 2.
Hint: use the answers to the previous two problems.
[Please enter your answer in dollars, without the $ sign, with at least two decimals of precision. For example, enter $1 as 1.00.]
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