Use the following information to answer the next two questions

1. The following information is provided in the context of a two period (two three-month periods) binomial option pricing model. A stock currently trades at $60 per share, and a put option on the stock has an exercise price of $55. The stock is equally likely to rise by 25% or fall by 25% during each three-month period. The one-year risk free rate is 10%.

Find the value of an American put. Round intermediate steps to four decimals. Round your final answer to two decimals.

11.38

4.11

4.41

10.59

2. Find the value of a European put given the same information in the previous problem. Round intermediate steps to four decimals and your final answer to two decimals.

3.85

4.14

5.02

4.67