For the American Call with the parameters S0 = 100, E = 95, r = 0.05, expiration in

3 years, use the tree model with t = 1, u = 1.2, d = 0.8. Calculate the option price. At every node

also calculate the payoff from the early exercise and confirm that it is less than the recursively calculated

option value. Consider the price path: Up, Down, Down and describe hedging procedure for a long call

and its results.