Top Posters
Since Sunday
g
3
3
2
J
2
p
2
m
2
h
2
s
2
r
2
d
2
l
2
a
2
Home Q & A Board Other Fields Homework Help Business
New Topic  
solina solina
wrote...
Go to Answer
Posts: 1273
Rep: 9 0
6 years ago
Assume that the current price of DEY stock is $25, that a 1 year call option on the stock has a strike or exercise price of $27.50, the risk free rate is 4%, and that you have calculated N(d1) as .5476 and N(d2) as .4432. Use the Black-Scholes model to calculate the price of the option.
A) $1.74
B) $4.20
C) 1.98
D) $2.50
Textbook 
Financial Management: Principles and Applications

Financial Management: Principles and Applications


Edition: 13th
Authors:
Read 135 times
1 Reply
Heavy Heart Thank you bio-forums! Heavy Heart
Replies
Answer verified by a subject expert
David_hessDavid_hess
wrote...
#1
Top Poster
Posts: 729
Rep: 35 0
6 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

solina Author
wrote...

6 years ago
Helped a lot
Turboturner
wrote...

Yesterday
this is exactly what I needed
cartoon
wrote...

2 hours ago
This calls for a celebration Person Raising Both Hands in Celebration
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  769 People Browsing
 190 Signed Up Today
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 258
  
 178
  
 282
Your Opinion
How often do you eat-out per week?
Votes: 79
Previous poll results: Which of the following is the best resource to supplement your studies: