2:29 1 Omar (X) 19. In each of the following questions, you are required to compare two options with characteristics as given. The stock on which these options are written does not pay dividends. Assume the risk-free rate to be 4%. Call T S Volatility A 0.5 $50 0.20 Price of option $10 $10 B 0.5 $50 0.15 Which call option is written on the stock with the higher strike price K? T 5 K Price of option 0.5 $50 $42 $8 B 0.75 $52 $44 $10 Which put option is written on the stock with the higher Volatility? LA II. B. III.Not enough information. Put A A ...l 46 0 LA II. B. III. Not enough information 2:29 1 Omar (X) 19. In each of the following questions, you are required to compare two options with characteristics as given. The stock on which these options are written does not pay dividends. Assume the risk-free rate to be 4%. Call T S Volatility A 0.5 $50 0.20 Price of option $10 $10 B 0.5 $50 0.15 Which call option is written on the stock with the higher strike price K? T 5 K Price of option 0.5 $50 $42 $8 B 0.75 $52 $44 $10 Which put option is written on the stock with the higher Volatility? LA II. B. III.Not enough information. Put A A ...l 46 0 LA II. B. III. Not enough information