Suppose S = $ 37, K = $ 41, r = 4 %, delta(the annualized dividend rate) is 10 %, sigma(the annualized standard deviation of the continously compounded stock returns) is 48 %, and T = 0.75 years.
a) The price of a $ 41-strike European call $
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b) The value of DELTA, the partial derivative of the $ 41 - strike European call price with respect to the stock price, when S=$ 37.
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c) The value of the call elasticity
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You can earn partial credit on this problem.