Calculate the Price of a European Call Option Using the Black

question 19

Multiple Choice

Calculate the price of a European call option using the Black Scholes model and the following data.Stock price = $56.80.Exercise price = $55.Time to expiration = 15 days.Risk free rate = 2.5%.Standard deviation = 22%.Dividend yield = 8%.

• A) $1.49
• B) $1.79
• C) $2.04
• D) $2.19

---

Definitions:

Identical Elements

The concept that the similarity between training and job tasks can enhance the transfer of skills and knowledge.

General Principles

Fundamental norms, rules, or laws that form the basis of reasoning or behavior in a specific field.

Training Design

Training design is the process of creating a training program that effectively meets the learning objectives and needs of participants, including the content, structure, and delivery methods.

Training Design Method

Approaches and techniques used to create effective training programs, focusing on the needs of the learners and the goals of the organization.