QUESTION 8 A share is currently trading at $100. At the end of each day for the next 60 days, it will change by going up 1% or going down by 1%. Calculate the value of a 60 day European call option with exercise price $100. The risk-free interest rate is 6% p.a. with continuous compounding. As always chose the answer that is closest to your own calculations. 2.80 2.82 3.23 3.26 QUESTION 9 A share is currently trading at $100. At the end of each day for the next 60 days, it will change by going up $1 or going down by $1. Calculate the value of a 60 day European call option with exercise price $100. The risk-free interest rate is 0% p.a. As always chose the answer that is closest to your own calculations. 2.78 2.81 3.24 3.26