Problem 5. Simple application of Black-Scholes formula (7 pts) In thais question, we consider a Black-Scholes model with a risk-free asset and a stock. (a) (3 pts) Assume that the stock price is $51, the interest rate is 11% compounded continuously, and the stock volatility is 25%. What is the price of a European call option on the stock with the strike price $49 and maturity of 3 months? (b) (4 pts) What is the price of a European put option on the stock, with the strike price $69 and maturity of 6 months, when the stock price is $68, the interest rate is 5% compounded continuously, and the stock volatility is 30%