Option traders buy and sell options and make a profit on the spread between their bid and offer prices. As discussed in class, option traders often use Black Scholes to quote their option prices in terms of implied volatilities rather than option dollar premiums. For a given option:

		You would expect the trader to quote a higher bid implied volatility and lower offer implied volatility
		You would expect the trader to quote a lower bid implied volatility and higher offer implied volatility
		The bid could be lower or higher than the offer depending on the overall level of the stocks actual volatility in the market
		Since the trader is quoting bid and offer prices in terms of implied volatilities, the bid and offer would be the same.