Question: Use the Black-Scholes Model to find the price for a call option with the following inputs: (1) Current stock price is $30, (2) Strike price

Use the Black-Scholes Model to find the price for a call option with the following inputs:

(1) Current stock price is $30,

(2) Strike price is $35,

(3) Time to expiration is 4 months,

(4) Annualized risk-free rate is 5%, and

(5) Variance of stock return is 0.25.


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