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Today, the continuous compound interest rate is 0.1% and one share of Amazon is $2367.92. Strike...

Today, the continuous compound interest rate is 0.1% and one share of Amazon is $2367.92.

Strike price= $2369.10

volatility of amazon= 27%

Call = $182.53

C. Draw the profit diagram for the straddle with the strike price in part 2 above (you may need to use the put-call parity formula).

D. Use the binomial model with 4 steps to find the American style option price in part 2 above. 1

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