A call option on 100 shares of Generous Dynamics stock has an exercise price $130.0 per share. GD declares a stock dividend of 20.0 percent. What happens to the exercise price and the number of shares underlying the option? Nothing happens Number of shares increases to 120.0 and the exercise price is reduced to 108.33 Number of shares increases to 120.0 and the exercise premains the sne Number of shares increases to 120.0 and the exercise price is reduced to 1040