Question: Let S = $60, s = 30%, r = 7%, and d = 3% (continuously compounded). Compute the Black-Scholes price for a $65-strike European call

Let S = $60, s = 30%, r = 7%, and d = 3% (continuously compounded). Compute the Black-Scholes price for a $65-strike European call option with 6 months until expiration.

CORRECT ANSWER IS A. $3.52

$3.52

$7.18

$0.00

$2.18

$3.67

Please show me how to solve. Thanks!

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