Using the binomial option pricing model, (1) calculate the value of the call if S=$95,X=80, and the stock can either be worth $140 or $60 one year from now. Assume that the risk free rate is 10%. 2 Without having to perform the calculation if the stock prices one year from now were $90 and $70, would the value of the call be greater or less than the previous value? Explain.