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using the binomial option pricing model calculate the value of the call if S = $ 1 0 0 , X = 8 0 ,

using the binomial option pricing model calculate the value of the call if S= $100, X =80, and the stock can either be worth $120 or $60 one year from now. Assume that the risk free rate is 10%. Without having to preform the calculation if the stock prices one year from now were $90 and $70, would the value of the call be greater or less than the previous value? Explain.

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