Following is the sequence of daily prices on the stock for the preceding month of June.
|
Date
|
Price
|
Date
|
Price
|
|
6/1
|
159.88
|
6/16
|
162.00
|
|
6/2
|
157.25
|
6/17
|
161.38
|
|
6/3
|
160.25
|
6/18
|
160.88
|
|
6/4
|
161.38
|
6/19
|
161.38
|
|
6/5
|
160.00
|
6/22
|
163.25
|
|
6/8
|
161.25
|
6/23
|
164.88
|
|
6/9
|
159.88
|
6/24
|
166.13
|
|
6/10
|
157.75
|
6/25
|
167.88
|
|
6/11
|
157.63
|
6/26
|
166.50
|
|
6/12
|
156.63
|
6/29
|
165.38
|
|
6/15
|
159.63
|
6/30
|
162.50
|
Estimate the historical volatility of the stock for use in the Black-Scholes-Merton model. (Ignore dividends on the stock.)