Assume that interest rate is 10% (=0.10), time to expiration is 180 days, and the current price of the July gasoline contract is USD 3.15/gal. Compute the values of a 3.00 call and a 3.00 put using Blacks option pricing model. Use the historical gasoline futures prices below to obtain the needed volatility estimate! You can solve this by hand or with a spreadsheet program such as Excel. If you chose to use a spreadsheet program, you need to turn in a printout of your work. Furthermore, indicate at each step what you did. Also, please write down the formula for each cell next to it so that it is clear what you calculated at each stage of the computation.

observation	futures closing price	ln(Rt)	(ln(Rt)-m)^2
1	3.070
2	3.044
3	3.071
4	3.011
5	3.099
6	3.067
7	3.048
8	3.022
9	3.021
10	3.032
11	3.020
12	3.021
13	3.020
14	3.059
15	3.050
16	3.064
17	3.005
18	3.000
19	3.040
20	3.011
21	3.069
22	3.039
23	3.068
24	3.011
25	3.098
26	3.033
27	3.091
28	3.055
29	3.088
30	3.055
31	3.003