Exam 23: Options and Corporate Finance: Extensions and Applications

arrow
  • Select Tags
search iconSearch Question
flashcardsStudy Flashcards
  • Select Tags

I.M.Not.Greedy has been granted options on 50,000 shares.The stock is currently trading at $17 a share and the options are at the money.The volatility of the stock returns averages 16 percent.The options mature in 2 years and the risk-free rate is 3.45 percent.N(d1)is .662055 and N(d2)is .576052.Given this information,what is the value of a call option on one share of this stock?

(Multiple Choice)
4.9/5
(41)

The option to abandon is:

(Multiple Choice)
4.8/5
(38)

Which one of the following is not included as an input for the Black-Scholes option pricing model?

(Multiple Choice)
4.7/5
(41)
Showing 41 - 43 of 43
close modal

Filters

  • Essay(0)
  • Multiple Choice(0)
  • Short Answer(0)
  • True False(0)
  • Matching(0)