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Black Scholes Option Pricing Model
Black Scholes Model
Image 1 A model used to calculate the value of a European call option. Developed in 1973 by Fisher Black and Myron Scholes. It uses the stock price, strike price, expiration date, risk-free return, and the standard deviation (volatility) of the stock's return.
Image 2 Check out the link below for a great article.


Black's Model

European Option

Expiration Date

Option

Strike Price

Standard Deviation