A stock is selling for $52 a share.The 3-month options have an exercise price of $55.The risk-free rate is 3.2 percent,the standard deviation is 19 percent,and the d1 value is -0.4587.What is the value of d2 as it applies to the Black-Scholes option pricing model?
A) −0.46081
B) −0.55370
C) −0.24601
D) −0.17069
E) −0.02307
Correct Answer:
Verified
Q61: Benny's is reviewing a $462,000 project that
Q62: Rita owns six put option contracts on
Q68: Assume the delta of a call option
Q69: You sold a $25 put contract on
Q70: The Bakery's assets are currently valued at
Q71: Bruno's stock is currently selling for $31.74
Q72: High Mountain has a stock price of
Q75: The $17.50 put option on ALF stock
Q77: British Imports has a stock price of
Q80: Ed's Sheds has a $1,250 pure discount
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents