Question
Required: Use the Black-Scholes formula to find the value of a call option based on the following inputs. Refer Cumulative normal distribution Table. (Do not
Required:
Use the Black-Scholes formula to find the value of a call option based on the following inputs. Refer Cumulative normal distribution Table. (Do not round intermediate calculations. Round your final answer to 2 decimal places.)
| Stock price | $ 63 |
|---|---|
| Exercise price | $ 69 |
| Interest rate | 7% |
| Dividend yield | 4% |
| Time to expiration | 0.5 |
| Standard deviation of stocks returns | 27% |
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Passive Income The Passive Income Millionaire
Authors: Alexus Arellano
1st Edition
9814950882, 978-9814950886
