Question: Carefully write an excel spread-sheet to calculate the B.S. formula for a put and a call. Implement (a), (b) and ( c). Setup your spread-sheet

Carefully write an excel spread-sheet to calculate the B.S. formula for a put and a call. Implement (a), (b) and ( c). Setup your spread-sheet so that can be varied σ easily. Report results for and discuss what might be an appropriate value to match the .2σ = 0 binomial model (of course, one would usually choose parameters of a multi-period binomial model to match a B.S. model).

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