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QUESTION 52 Consider the Black-Scholes model to value stock options. Which of the following variables are needed as input and are not observable? A. The

QUESTION 52

Consider the Black-Scholes model to value stock options. Which of the following variables are needed as input and are not observable?

A. The expected return of the stock

B. The volatility of the stock

C. The expected return and the volatility of the stock

D. The beta and the volatility of the stock.

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