Need an argumentative essay on Black-Scholes. Needs to be 2 pages. Please no plagiarism.Sensitivity AnalysisIn this question examine what happens to the price of the European call option when some of

Need an argumentative essay on Black-Scholes. Needs to be 2 pages. Please no plagiarism.

Sensitivity AnalysisIn this question examine what happens to the price of the European call option when some of the parameters which enter the Black-Scholes formula vary.Question One 1. Give the Black-Scholes formula for the price C0 of a European call option. Define carefully all the variables that enter into the formula Where. C0 is the theoretical call value Is the estimated value of an option S is the current stock price Is the present value of options in the market such as New York State Exchange. N is the cumulative standard normal probability distribution (Franke, Härdle and Hafner, 2015) r is the risk free rate Is the hypothetical rate of return of an option with no risk of fiscal loss. T is time to maturity Is the remaining lifespan of an option X is the option strike price The price at which call option can be exercised AND While Therefore,