29. Compute the vega on a European call option when the the index level is Sx = 1,500, the strike price is K = 1,400, the risk-free rate is r = 5%, the dividend yield is q = 0%, the volatility is o = 18%, and the time to maturity is three months, i.e. T=T-t= 3/12. Based on your calculation and the following statements, choose the best answer that describes the interpretation of the computed vega. Recall that the vega of a European call option is given by v=S,VTld) (1) I. The value of a long position in the option increases by $1.9 if volatility increases by 1% II. The value of a long position in the option decreases by $3.8 if volatility decreases by 2% III. The value of a long position in the option increases by $5.1 if volatility increases by 1% (a) I only (b) III only (C) I and II (d) II and