Use the Black-Scholes model to find the price for a call option with the following inputs: (1)

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Use the Black-Scholes model to find the price for a call option with the following inputs: (1) current stock price is $22, (2) strike price is $20, (3) time to expiration is 6 months, (4) annualized risk-free rate is 5%, and (5) variance of stock return is 0.49.

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Financial Management Theory & Practice

ISBN: 9780324652178

12th Edition

Authors: Eugene BrighamMichael Ehrhardt

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