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Calculate the prices of a call option and a put option which have the following characteristics. (HINT: Use the Black-Scholes!) (Do not round intermediate calculations
Calculate the prices of a call option and a put option which have the following characteristics. (HINT: Use the Black-Scholes!) (Do not round intermediate calculations and round your final answers to 2 decimal places, e.g., 32.16.) = Today's stock - $80 price Exercise price = $75 4.7% per year, compounded Risk-free rate = continuously Option maturity = 4 months Standard deviation of = 65% per year annual stock returns Call price Put price
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