Ima Greedy, the CFO of Financial Saving Techniques Has Been

question 3

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%.
What is the value of a call option?

• A)£4.14
• B)£4.86
• C)£7.57
• D)£5.62
• E)£6.16

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Definitions:

Empowered

Having the confidence and ability to make decisions and take actions autonomously, often leading to a sense of control and efficacy in one's role.

Workflow Design

The arrangement and organization of processes, tasks, and activities to achieve efficient operations and outcomes in a workplace.

Self-efficacy

An individual's belief in their own ability to complete tasks and achieve goals, which plays a critical role in how one approaches goals, tasks, and challenges.

Environmental Uncertainty

A condition in which there is a lack of information about environmental factors that could affect the decision-making process.