Use the Following Information to Answer the Question(s)below

question 4

Multiple Choice

Use the following information to answer the question(s) below.
(Please use a copy of the Cumulative Probabilities for the standard normal distribution for these problems. )
Taggart Transcontinental's stock has a volatility of 25% and a current stock price of $40 per share.Taggart pays no dividends.The risk-free interest rate is 4%.
-The Black-Scholes value of a one-year,at-the-money put option on Taggart stock is closest to:

• A)$1.45.
• B)$3.15.
• C)$4.75.
• D)$9.50.

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Definitions:

Evolutionary History

The branch of biology that deals with the study of the evolutionary processes that have shaped diversity and complexity of life on Earth over time.

Ancestral Species

A species from which other species have evolved, representing a common ancestor in the evolutionary tree.

Song Learning

The process by which birds acquire their song repertoire, often by listening to and imitating older birds.

Dialect Learning

The process by which individuals learn variations in language, including accent and word usage, specific to a particular region or group.