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3) if the black-scholes formula is solved to find the standard deviation consistent with the current market call premium, that standard deviation would be called the . a) variability b) volatility c) implied volatility d) deviance


c) implied volatility

  • Q: What is the Black-Scholes formula used for? A: The Black-Scholes formula is used to price European-style options.
  • Q: What is implied volatility? A: Implied volatility is a measure of an option's expected volatility based on current option prices.