Produce a graph comparing a calls intrinsic value [defined as max(S-X,0)] and its Black-Scholes price. Stock prices to produce respective intrinsic values should start at 36 and end at 68 (units of 2).

From this graph, provide an explanation of why it is never optimal to exercise early on a call priced by the Black-Scholes. Use the inputs below:

S	50
X	50
r	10.00%
T	0.5
Sigma	25%

Black-Scholes option pricing formula
S	50	current stock price
X	50	exercise price
r	10.00%	risk-free rate of interest
T	0.5	time to maturity of option (in years)
Sigma	25%	stock volatility
d1
d2
N(d1)
N(d2)
call price
put price
Stock	B-S	Intrinsic
Price	Value	Value
36
38
40
42
44
46
48
50
52
54
56
58
60
62
64
66
68