Question: Black-Scholes Model (LO2, CFA2)The only variable in the Black-Scholes option pricing model that cannot be directly observed is the: a. Stock price volatility. b. Time

Black-Scholes Model (LO2, CFA2) The only variable in the Black-Scholes option pricing model that cannot be directly observed is the:

a. Stock price volatility.

b. Time to expiration.

c. Stock price.

d. Risk-free rate.

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