Consider a one-period binomial world in which the current stock price of 60 can either go up by 15 percent or down by 20 percent. There is a European call option on this stock with an exercise price of 60 expiring at the end of first period. The risk-free rate is 10 percent. a. Calculate the stock and call prices for both up and down positions along the tree. Show all your work. b. What is the theoretical value of the call at time 0, i.e., today? Show all your work