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Using the Black-Scholes model, explain what happens to the value of a call as S, X, T, risk-free rate and s 2 change. Why is
- Using the Black-Scholes model, explain what happens to the value of a call as S, X, T, risk-free rate and s2 change. Why is the relationship between risk and price different for options than for other securities?Please explain step by step. Thank you very much
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