Question 5 Use the two-period binomial model to find the price of the European call option on Pfizer. The current stock price is $48 and Pfizer's volatility is 40%. The options are sold "at the money" (i.e. the strike price is equal to the current stock price). They will expire in 3 months. The current risk free rate is 4% per year. a. Construct the two-period binomial tree for the evolution of the Pfizer's stock price. b. Find payoffs of the option at expiration c. Use the two-period binomial model to price this option.