What Is the Value of D₂ Given the Following Information

question 63

Multiple Choice

What is the value of d₂ given the following information on a stock? $$\begin{array} { l l } \text { Stock price } & \$ 19.20 \\\text { Exercise price } & \$ 15.00 \\\text { Time to expiration } & 9 \text { months } \\\text { Risk-free rate } & 3.75 \text { percent } \\\text { Standard deviation } & 58 \text { percent } \\\mathrm { d } _ { 1 } & 0.63355\end{array}$$

• A)0.1218
• B)0.1225
• C)0.1313
• D)0.1335
• E)0.1340

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Definitions:

Federal Government Revenue

Federal government revenue consists of the money received by a government from taxes and non-tax sources to finance government activities.

Social Security Taxes

Social Security Taxes are taxes collected from employees and employers to fund the Social Security program, which provides retirement, disability, and survivor benefits.

Direct Tax

A tax levied directly on an individual's or organization's income or wealth, such as income tax or property tax.

Indirect Tax

A tax collected by an intermediary from the person who bears the ultimate economic burden of the tax; examples include sales taxes and value-added taxes.