12 An analyst gathers the following information about a non-dividend-paying stock:

Stock price: $50.00
Periodically compounded 1-year risk-free interest rate: 5.00%
Total return when an up move occurs (1 + return): 1.25
Total return when a down move occurs (1 + return): 0.85

Using a single-period binomial option valuation model and a strike price of $50.00, the value of a 1-year call option on the stock is closest to: