PutCall Parity A put option that expires in six months with an exercise price of $50 sells

Question:

Put–Call Parity A put option that expires in six months with an exercise price of $50 sells for $4.89. The stock is currently priced at $53, and the risk-free rate is 3.6 percent per year, compounded continuously. What is the price of a call option with the same exercise price? LO.1

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Corporate Finance

ISBN: 9780073105901

8th Edition

Authors: Jeffrey Jaffe, Bradford D Jordan

Question Posted: