Question
16.) 16N. What is the value of Ln (P/X) to be used in equation for d1 (5.10 on page 216 of the text book)? REQUIRED
16.)
16N. What is the value of Ln (P/X) to be used in equation for d1 (5.10 on page 216 of the text book)?
REQUIRED STATEMENT FOR THIS QUESTION (QUESTION 16N) IS SAME AS FOR QUESTION 14N. HOWEVER, I AM PROVIDING YOU THE STATEMENT BELOW FOR YOUR REFERENCE. TO SAVE TIME, YOU MAY NOT NEED TO RE-READ THE STATEMENT.
The following statement is applicable to questions 14N through 19N. Please find call option price carefully and all questions 14N to 19N can be answered by the correct steps used in calculation of call option price.
You have been asked to find the call option value for a company with the quarterly closing stock prices as shown below. Assume the option expires in 120 days (There are 365 days in a year), annual risk free interest rate is 2 percent and the exercise (strike) price is $60.00.
| Quarter | Stock Price (P) |
| October to December 2020 | $56.00 |
| July to September 2020 | $53.25 |
| April to June 2020 | $50.12 |
| January to March 2020 | $53.50 |
| October to December 2019 | $56.00 |
Group of answer choices
-0.878619
-0.804447
-0.068993
0.210569
17.)
What is the value d1 from equation 5.10 on page 216 of the text book?
REQUIRED STATEMENT FOR THIS QUESTION (QUESTION 17N) IS SAME AS FOR QUESTION 14N. HOWEVER, I AM PROVIDING YOU THE STATEMENT BELOW FOR YOUR REFERENCE. TO SAVE TIME, YOU MAY NOT NEED TO RE-READ THE STATEMENT.
The following statement is applicable to questions 14N through 19N. Please find call option price carefully and all questions 14N to 19N can be answered by the correct steps used in calculation of call option price.
You have been asked to find the call option value for a company with the quarterly closing stock prices as shown below. Assume the option expires in 120 days (There are 365 days in a year), annual risk free interest rate is 2 percent and the exercise (strike) price is $60.00.
| Quarter | Stock Price (P) |
| October to December 2020 | $56.00 |
| July to September 2020 | $53.25 |
| April to June 2020 | $50.12 |
| January to March 2020 | $53.50 |
| October to December 2019 | $56.00 |
Group of answer choices
0.266164
-0.878619
-0.068992
-0.804448
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Personal Finance In A Public World How Technology Social Media And Ads Affect Your Money Decisions
Authors: Bob DePasquale
1st Edition
1637306652, 978-1637306659
