What is the value of call option on the stock

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1. The stock of Nugents Nougats currently sells for $45 and has an annual standard deviation of 46 percent. The stock has a dividend yield of 5.4 percent and the risk-free rate is 5.4 percent. What is the value of a call option on the stock with a strike price of $41 and 46 days to expiration?

2. The required equity return for Panera is 10.8%. If the risk-free rate is 1.9% and the market risk premium is 6.5%, what is Panera's beta? Round your answer to four decimal places

3. The beta for Ford is 1.3. The risk-free rate is 3.1% and the return on the market is 10.3%. What is the expected return on Ford's stock? Round your answer to four decimal places.

Reference no: EM132029731

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