Use the Black-Scholes Option Pricing Model for the Following Problem

question 22

Multiple Choice

Use the Black-Scholes option pricing model for the following problem.Given: S_O = $70; X = $70; T = 70 days; r = 0.06 annually (0.0001648 daily) ; σ = 0.020506 (daily) .No dividends will be paid before option expires.The value of the call option is

• A)$10.16.
• B)$5.16.
• C)$0.00.
• D)$2.16.

---

Definitions:

Pressure Points

Specific areas of the body where minor pressure can be applied to reduce pain, control bleeding, or influence the flow of body energies in various therapeutic modalities.

Hyperextension

An excessive extension of a limb or part of the body beyond its normal limit, which can lead to injury.

Spinal Curves

The natural arches in the spine, including cervical, thoracic, lumbar, and sacral curvatures, essential for flexibility and support.

Broader Influence

The extended effect or impact one has beyond their immediate circle, affecting a larger community, system, or societal norms.