Please use the following general assumptions:

All options considered below expire in exactly 2 months.

All options considered below have an exercise price of $75 per share.

Assume a two-period binomial model applies to the valuations below. Each period is 1 month.

Assume that the value of the stock underlying the options can either increase by 10% per period or decline by 10% per period.

The annualized risk-free rate appropriate to securities with a 2-month maturity date is 2.4%.

If the current price of the underlying stock is $78 per share, calculate a value estimate of a European put option on this stock. Assume no dividend is expected on the underlying stock during the life of the option.