Determine the fair value of a call option and a put option of a European stock option by Using Black-Scholes pricing equation. Stock Option with an expiration date of February 18 and an exercise price of $165 ? It is currently January 25 this stock closed at $159.78? On January 25 its observed that the options are trading at $4.00 for the call option and $9.55 for the put option. one year volatility is 33.06%. risk free rate is 0.42%?