Suppose Essos's stock price is currently 118 Sin the next six months it will either fall to 94.4$ or rise to 141.6 What is the current value of a call option with an exercise price of $106.2? The six-month risk-free interest rate is 5% per six-month period. Use any method you want for the solution.

A. 21.07

B. 22.13

C. 14.39

D. 21.59

2. Suppose Winterfall's stock price is currently 24 $ in the next six months it will either fall to 19.2or to 28.8 . What is the current value of a call option with an exercise price of $24? The risk-free interest rate is 10% per year. Use the hedging method method for the solution. Discount with an annual rate

A. 3.15

B. 1.8

C. 2.86

D. 2.8