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You are attempting to value a call option with an exercise price of $107 and one year to expletion. The underlying soch pays to dividends,

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You are attempting to value a call option with an exercise price of $107 and one year to expletion. The underlying soch pays to dividends, its current price is $107, and you believe it has a 50% chance of increasing to 5123 and a 50% chance of decreasing to 91. The risk-free rate of interest is 12% Calculate the hedge ratio (Do not round Intermediate calculations. Round your answer to 2 decimal places) Hedge ratio Calculate the call option's value using the two state stock price model. (Do not round intermediate calculations. Round your final answer to 2 decimal places.) Call option's value

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