Question
5. Black-Scholes-Merton Model (LO2, CFA2) The stock of Nugents Nougats currently sells for $44 and has an annual standard deviation of 45 percent. The stock
5. Black-Scholes-Merton Model (LO2, CFA2) The stock of Nugents Nougats currently sells for $44 and has an annual standard deviation of 45 percent. The stock has a dividend yield of 2.5 percent, and the risk-free rate is 4.1 percent. What is the value of a call option on the stock with a strike price of $40 and 65 days to expiration?
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Project Financing Financial Instruments And Risk Management
Authors: Frank J Fabozzi, Carmel De Nahlik
1st Edition
9811231494, 9789811231490
