The current price of Tyson Foods Inc stock is $48.71. The interest rate is 10% a year. A one-year call option on Tyson Foods Inc stock has an exercise price of $55 and a premium of $9.74.

1. Using the information provided and the Black-Scholes model compute the stocks implied volatility.
2. Using the implied risk computed in part (a) and the Black-Scholes model compute the two-year call premium for an exercise price at $60.