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I used Black-Scholes to price those options. I can see some problems with vol=0 when computing d1 and d2 (numerically). But I don't understand why someone would pay $2.40 for this option which will never generate any payoff (financially). And why Put gives more reasonable price?

[QUOTE="Uncle Max, post: 5203, member: 54"] I used Black-Scholes to price those options. I can see some problems with vol=0 when computing d1 and d2 (numerically). But I don't understand why someone would pay $2.40 for this option which will never generate any payoff (financially). And why Put gives more reasonable price? [/QUOTE]

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