The CFO at a non-dividend-paying firm asks a financial analyst to evaluate a plan by the firmto grant stock options to its employees. The firm has 60 million shares outstanding. Under theproposal, the firm would issue 3 million employee stock options, with each option giving theholder the right to buy one share of the firm's stock at a strike price of USD 70. Theemployee stock options would expire in 4 years. A four-year call option on the stock with thesame strike price is currently valued at SGD 4.39 using the Black-Scholes-Merton model.Which of the following is the best estimate of the price of one employee stock optionassuming that the call option is correctly priced?

A.SGD 3.97

B.SGD 4.18

C.SGD 4.39

D.SGD 4.45