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1 Given the following data as of the close of trading on 10/26/18: Quest Diagnostics (DGX): 91.47 T-bill: Asked 2.28. Days to Maturity 84 Options

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1 Given the following data as of the close of trading on 10/26/18: Quest Diagnostics (DGX): 91.47 T-bill: Asked 2.28. Days to Maturity 84 Options on DGX: expire January 18, 2019 0.35 0.55 23.7 17.5 12. 9 8.7 5.2 2.55 1.1 0.45 70 75 80 85 90 95 100 105 1.95 3.4 6.1 9.7 14.2 a. Show that every option in the table is priced above the lower bound (these are American options). Fill out the following table: Strike Lower bound, call Lower bound, put 95 100 105

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