Multiple Choice
When the non-dividend paying stock price is $20,the strike price is $20,the risk-free rate is 6%,the volatility is 20% and the time to maturity is 3 months which of the following is the price of a European call option on the stock
A) 20N(0.1) -19.7N(0.2)
B) 20N(0.2) -19.7N(0.1)
C) 19.7N(0.2) -20N(0.1)
D) 19.7N(0.1) -20N(0.2)
Correct Answer:
Verified
Correct Answer:
Verified
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