Calculate the price for the call option

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The stock price for Ewing Corp. today is $30 and at date 1 will either go up by 5% or go down by 2%. When the one-period interest rate is 2%, calculate the price for the call option (underlying asset: Ewing Corp. stocks) matures at date 1 and has exercise price X = $25 by using binomial pricing model

Reference no: EM131057826

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