What is Equilars Black-Scholes methodology?
A.) Variable Item Source Comments C Option Value Calculated N/A S Stock Price Proxy N/A E Exercise Price Proxy N/A σ Volatility SunGard Historical three-year stock price volatility measured on a daily basis from the date of grant. If a company has not been publicly traded for at least three years, we measure volatility from the IPO date through grant date. q Dividend Yield SunGard Cumulative dividends for the 12 months prior to the option grant date divided by stock price (adjusted for stock splits over the period). r Risk Free Rate SunGard U.S. Government Bond Yield on the date of grant corresponding to the term of the option. For example, if the option has a 10-year term, the risk free rate is the 10-year U.S. Government Bond Yield on the date of grant. t Term/Expected Life Proxy Full term of the option.
