Consider a European call option on a non- dividend-paying stock where the stock price is $30, the strike price is $25, the risk-free rate is 5% per annum, the volatility (?) is 45% per annum, and the time to maturity is 6 months. Conduct all of your calculation in MS Excel by completing the appropriate binomial trees in the file A4 Tables.xlsx, which can be found in the course website. a) Calculate u, d, and p for a two-step binomial tree. b) Value the option using a two-step binomial tree. c) Calculate u, d, and p for a three-step binomial tree. d) Value the option using a three-step binomial tree. e) Compare your results from parts (b) and (d). Which call price is closer to the Black-Scholes price? Why? (Hint: You can use the BS calculator provided in the course website to answer this question) f) Provide a printout of your formulas. (hint: To show the formulas in all cells press CTRL+` and print your spreadsheet. The little mark in the shortcut is the grave accent key usually located besides the key for number 1).