The current price of Denton Railroad stock is $100. In each of the next two years, this stock price can either go up by 25% or go down by 15%. The stock pays no dividends. The one-year risk-free interest rate is 5% and will remain constant. Using the Binomial Model (risk-neutral probabilities), find the price of the two-year call option with a strike price of $120.

Group of answer choices

$8.98

$10.25

$9.64

$8.22