Your question is Volatility Smile Modeling. Take a moment with it on the right.
Talk me through your thinking if you like. When you're confident, submit your answer and I'll grade it like a real screen (7/10 or better passes).
Explain the concept of volatility smile and how it impacts your modeling approach.
Discuss how implied volatility varies with strike price and maturity, why the pattern can invalidate constant-volatility assumptions, and how you would build and evaluate a model that preserves no-arbitrage and temporal stability. Address feature engineering, model selection, validation, and production monitoring. State any assumptions you would clarify before implementation.