THREE-DATE BINOMIAL OPTION PRICING \begin{tabular}{|l|r|l|l|l|} \hline Up, U & 1.35 & \multicolumn{2}{l|}{} \\ \hline Down, D & 0.95 & \multicolumn{2}{|c|}{ state prices } \\ \hline Initial stock price & 40 & & qu \\ \hline Interest rate, R & 1.25 & & \\ \hline Exercise price & 40 & & \\ \hline Stock price & & \\ \hline & ??? \\ \hline \end{tabular} \begin{tabular}{|l|l|l|} \hline Exercise 6 \\ \hline Fillinallthecellslabeled???inthefollowingspreadsheet:WhyistherenoadditionalpricingtreeforanAmericancalloption? \\ \hline \end{tabular} Bond price European put option ??? ??? ??? American put option Why no American Call option tree