Use two-state option pricing model to find the value of a call option and the intrinsic value given the following parameters:

T-bills yield:2.5 pct.Current stock price:$32.00No possibility stock will be worth less this amount in one year:$30.00Exercise Price:$27.00

Group of answer choices

Value of call = $3.66, Intrinsic Value = $5.00

Value of call = $5.66, Intrinsic Value = $2.00

Value of call = $5.66, Intrinsic Value = $5.00

Please show work