The Implied Volatility Is Obtained by Finding the Standard Deviation

Multiple Choice

The implied volatility is obtained by finding the standard deviation that, when used in the Black-Scholes-Merton model, makes the

A) model price expire at zero
B) model price equal the market price of the option
C) model price such that it exceeds currently traded market option values
D) model price equal the intrinsic value of the underlying stock
E) none of the above