Given the maturity of an American put option 2 years, riskfree rate 10%, volatility of the stock 40%, current spot price of stock $50, strike price $50, what is the one-step gross rate of stock when it goes up considering a three-step binomial tree? O A. 1.386 OB. 1.105 O C. 0.924 O D. 1.524

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A: Data from main section: Beta of asset=0.48 KA= 5.4%

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