What is the value of the following call option according to, Financial Management

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What is the value of the following call option according to

What is the value of the following call option according to the Black Scholes Option Pricing Model? (To be done in excel with formulas showing)

Stock Price = $45.25

Strike Price = $45.00

Time to Expiration = 3 Months = 0.2 years.

Risk-Free Rate = 4.0%.

Stock Return Standard Deviation = 0.65.

Suppose the price of a stock falls.

a. What will happen to the price of a call option written on that stock?

b. What will happen to the price of a put option written on that stock?

Suppose the risk free rate rises.

a. What will happen to the price of a call option written on that stock?

b. What will happen to the price of a put option written on that stock?

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