Note that you can use the Black-Scholes formula to calculate the call option premium as a percentage
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Note that you can use the Black-Scholes formula to calculate the call option premium as a percentage of the exercise price in terms of S/X:
Implement this in a spreadsheet or R.
Transcribed Image Text:
C=SN(d)- Xe "N(d) where In(S/X)+(r+/2)T d d =d-T C S N(d)-eN(d,
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