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  3. part a, please ret data: so = 130; x = 143, 1+p

part a, please Ret Data: So = 130; X = 143, 1+p=11....

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Finance

part a, please image
Ret Data: So = 130; X = 143, 1+p=11. The two possibilities for Sy are 160 and 109. a-1. The range of Sis 51 while that of Cis 17 across the two states. What is the hedge ratio of the call? (Round your answer to 2 decimal places.) Answer is complete but not entirely correct. Hedge ratio (0.66) a-2. Calculate the value of a call option on the stock with an exercise price of 143. (Do not use continuous compounding to calculate the present value of Xin this example because we are using a two-state model here with discrete periods, not a continuous-time Black-Scholes model.) (Do not round intermediate calculations. Round your answer to 2 decimal places.) Answer is complete and correct. Call value $ 10.30

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