Consider both a 12-month American and a 12-month European put option on a stock with So = $100, K = $90, and o = 0.3. The risk-free rate is 5%, continuously compounded, for the entire 12-month period. (a) (5 points) Compute the price of the European put using the CRR model and a three-step binomial tree. Make sure to show your work. (b) (5 points) Compute the price of the American put using the CRR model and a three-step binomial tree. Make sure to show your work and indicate any nodes on your tree where the option is exercised early. (c) (2 points) What is the percentage error of your answer in part (a) when compared with the theoretical price given in Chapter 15 of your textbook? Consider both a 12-month American and a 12-month European put option on a stock with So = $100, K = $90, and o = 0.3. The risk-free rate is 5%, continuously compounded, for the entire 12-month period. (a) (5 points) Compute the price of the European put using the CRR model and a three-step binomial tree. Make sure to show your work. (b) (5 points) Compute the price of the American put using the CRR model and a three-step binomial tree. Make sure to show your work and indicate any nodes on your tree where the option is exercised early. (c) (2 points) What is the percentage error of your answer in part (a) when compared with the theoretical price given in Chapter 15 of your textbook