Question
Given the BSM option pricing model, what is the price of a 3-month call option with K = $55 if the current spot price of
Given the BSM option pricing model, what is the price of a 3-month call option with K = $55 if the current spot price of the non-dividend paying underlying asset is $56.32, and the interest rate is 5% continuously compounded per annum, and the per annum implied volatility is 45%?
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Financial Management Core Concepts
Authors: Raymond M Brooks
2nd edition
132671034, 978-0132671033
