A 7-month European put option on the stock of Telstra has an exercise price of $4.80. The current stock price is $4.50, the risk-free rate is 8% per annum, and the volatility is 30% per annum. Calculate the price of the put option using the Black-Scholes-Merton formula. _ _ _ _ _ _ _ _

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The Answer of A 7-month European put option on the stock of Telstra has an exercise price of $4.80. The current stock price is $4.50, the risk-free rate is 8% per annum, and the volatility is 30% per annum. Calculate the price of the put option using the Black-Scholes-Merton formula. _ _ _ _ _ _ _ _

A 7-Month European Put Option on the Stock of Telstra