Apple stock is currently trading at $130.00 per share. Assume that the dividend yield is 0 and the annual risk-free rate is 2%. You calculate the standard deviation of stock returns to be 40% (0.40). What is the price of a 6-month Apple call option with a strike price of $150?

Helpful Hint: I've completed the first half of this problem for you: N(d1) = 0.4364 and N(d2) = 0.3300

$11.34

$20.00

$7.72

$5.93