Question: Given that the Black-Schole's Framework holds, you are considering the purchase of a 3- month European Call option on a stock with a Strike

Given that the Black-Schole's Framework holds, you are considering the purchase of

Given that the Black-Schole's Framework holds, you are considering the purchase of a 3- month European Call option on a stock with a Strike price of USD 25. The stock is currently selling at USD 20, its volatility is 24% and the stock pays a dividend. The dividend yield is 3%, and risk-free interest rate is 5%. What is the price you should pay for the option?

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