Ray depth is about how many layers of transparancy you want to pass through. 3 is the bare minium, as anything with a thickness and transparant material has already two layers. If you have some overlapping trees, ramp up the number accordingly. 200 and 500 values are overkill. For most of my exterior renders I am fine with setting reflection and ray depth around 12. I keep treshold at 0, as this just makes reflections look better for only a slight increase in render times ussually.
I do not use any of the billboard objects, though. I either use 3d objects or the cutout contour objects. The problem is with the alpha channel / mask of those trees. It is just a rectangular picture with a transparant background, but you are still getting bits of the rectangle showing up / messing with things.
I seem to recall this was better or worse with either using physical renderer or not using it.
Erwin Edel, Project Lead, Leloup Architecten
www.leloup.nlArchiCAD 9-26NED FULL
Windows 10 Pro
Adobe Design Premium CS5