Ima Greedy, the CFO of Financial Saving Techniques Has Been

question 7

Multiple Choice

Ima Greedy, the CFO of Financial Saving Techniques has been granted options on 200,000 shares. The equity is currently trading at £22 a share and the options are at the money.The volatility of the
Equity has been about .20 on an annual basis over the last several years.The option mature in 3
Years and the risk free rate is 4%.
Calculate N(d2) .

• A).4081
• B).5578
• C).6085
• D).7085
• E).7142