Question: please answer both questions. upvote and good feedback will be given for trying and helping. ancisco State University 17. What is the price of a
ancisco State University 17. What is the price of a European call option on a non-dividend- paying stock when the stock price is $51, the strike price is $50, the risk-free interest rate is 8% per annum, the volatility is 20% per annum, and the time to maturity is three months? A. 4.09 B. 3.15 C. 4.45 D. 6.78 E. 5.12 18. What is the price of a European call option on a non-dividend- paying stock when the stock price is $52, the strike price is $50, the risk-free interest rate is 8% per annum, the volatility is 20% per annum, and the time to maturity is three months? A. 5.76 B. 4.90 C. 5.45 D. 3.85 E. 4.75
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