1. You create a tree (tree A) to price an option on an index which currently has a price of $100 and a return volatility of 25%. The index has a dividend yield of 2%. You create another tree (tree B) to price an option on a non-dividend paying stock IND. The current stock price of IND is $100 and its return volatility is 20%. Which of the following statements is correct?

   	A.	Trees A and B have the same p and u.
   	B.	Trees A and B have different p and u.
   	C.	Trees A and B have the same u but different p.
   	D.	Trees A and B have the same p but different u.