Time to expiration 6 months Standard deviation 5 0 % per year Exercise price $ 5 0

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Question:

Time to expiration

6

months

Standard deviation

50 %

per year

Exercise price $

50

Stock price $

50

Interest rate

3 %

Dividend

0

Required:

Use the Black

-

Scholes formula to find the value of a call option on the above stock: Calculate the value of a call option.

Posted Date: May 18, 2024 10:08 PM

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Time to expiration 6 months Standard deviation 5 0 % per year Exercise price $ 5 0

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