The price of a non-dividend-paying stock is $19 and the price of a 3-month European call option

Question:

The price of a non-dividend-paying stock is $19 and the price of a 3-month European call option on the stock with a strike price of $20 is $1. The risk-free rate is 4% per annum. What is the price of a 3-month European put option with a strike price of $20?

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

Step by Step Answer:

Related Book For  book-img-for-question
Question Posted: