Select one or more: a. In option pricing, stock prices are typically assumed to be normally distributed, and it follows that their log returns are lognormally distributed. b. Harry exercised an October call option on Copper futures with a strike of $3.40 when the underlying futures was trading at $3.60. Each contract is for the delivery of 25,000 pounds. As a result, he received a long position in the underlying October Copper futures contract and also an amount of $5000 in his margin account. c. The baseline BSM model relies on five parameters: the underlying asset price, the strike, the riskfree rate, time to maturity, and the volatility. Of these, only the volatility is not directly observable and must be estimated. d. When the underlying asset price is very small, ceteris paribus, we expect the call to be valued closed to 0 , because N(d1) and N(d2) are close to zero, where the sum of N(d1) and N(d2) should be close to 1