A stock sells for $110.A call option on the stock has an exercise price of $105 and expires in 43 days. If the interest rate is 0.11 and the standard deviation of the stock's return is 0.25.

(a) calculate the call using the black scholes model

(b)what would be the price of a put with an exercise price of $140 and the same time until expiration?

(c)how does an increase in the volatility and interest rate changes affect the underlying stock's return on an option's value?Explain.