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you are attempting to value a call option with an exercise price of $ 1 0 6 and one year to expiration. The underlying stock

you are attempting to value a call option with an exercise price of $106 and one year to expiration. The underlying stock pays no dividends, its current price is $106, and you believe it has a 50% chance of increasing to $125 and a 50% chance of decreasing to $87. The risk-free rate of interest is 8%. Calculate the call options value using the two-state stock price model.
Note: Do not round intermediate calculations. Round your final answer to 2 decimal places.

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