A stock trades at $40. Over the next six months it could go up to $48 or down to $33. In the subsequent six-month period, if the stock starts at $48 it could go all the way to $60 or it could fall to $39. If the stock starts at $33, it could go up to $38 or it might fall to $27. Value a put option on this stock with X = $40 and a call option with X = $36. Assume an annual risk-free rate of 4%.