Please use Excel and show formulas

Question 2. Value of a stock is currently at $40. Volatility of that stock is 30% per year and risk-free interest rate with continuous compounding is at 5% per year. Suppose you are planning to value a 3-month European call option with strike price at $41 using a two-step binomial model. Answer the following using this information. (Binomial Tree Approach to Option Valuation describe how to solve this problem) a. What are the values of u, d and q? (To find the value of e-ovat, use the Excel function exp with values of o and At )(3) b. Draw stock tree using the information provided. Indicate value of stock at expiration as well as at the intermediate nodes. (2) Question 2. Value of a stock is currently at $40. Volatility of that stock is 30% per year and risk-free interest rate with continuous compounding is at 5% per year. Suppose you are planning to value a 3-month European call option with strike price at $41 using a two-step binomial model. Answer the following using this information. (Binomial Tree Approach to Option Valuation describe how to solve this problem) a. What are the values of u, d and q? (To find the value of e-ovat, use the Excel function exp with values of o and At )(3) b. Draw stock tree using the information provided. Indicate value of stock at expiration as well as at the intermediate nodes. (2)