8. Put-call parity [LO 25.1] You find a put and a call with the same exercise price...

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8. Put-call parity [LO 25.1] You find a put and a call with the same exercise price and maturity. If the share price and the exercise price are the same, what do you know about the relative prices of the put and call? Prove your answer and provide an intuitive explanation.

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Fundamentals Of Corporate Finance

ISBN: 9781743768051

8th Edition

Authors: Stephen A. Ross, Rowan Trayler, Charles Koh, Gerhard Hambusch, Kristoffer Glover, Randolph W. Westerfield, Bradford D. Jordan

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