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Let S = $100, K = $95, =30%,=8%,=3% =0.75. a. What is the Black-Scholes call price? b. If S = $100 exp(-0.030.75), K = $95exp(-0.080.75),

Let S = $100, K = $95, =30%,=8%,=3% =0.75.

a. What is the Black-Scholes call price?

b. If S = $100 exp(-0.03*0.75), K = $95exp(-0.08*0.75), =30%,=0%,=0% =0.75, what is the Black-Scholes call option price? How does it compare to price in a.?

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22. Let S - $100, K - $95, o=30%,r-8%,8=3% and T-0.75. a. What is the Black-Scholes call price? b. If S - $100 exp(-0.03*0.75), K = $95exp(-0.08*0.75), 0=30%,r=0%,8-0% and T-0.75, what is the Black-Scholes call option price? How does it compare to price in a

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