Question
1. The price of one share of WHAM stock today is X. The stock pays no dividends. A six-month call option on the stock with
1. The price of one share of WHAM stock today is X. The stock pays no dividends. A six-month call option on the stock with a strike price of 100 is 4.22. A six-month put option on the stock with a strike price of 100 is 5.80. The continuously compounded interest rate is 5%. Determine X. 1. The price of one share of WHAM stock today is X. The stock pays no dividends. A six-month call option on the stock with a strike price of 100 is 4.22. A six-month put option on the stock with a strike price of 100 is 5.80. The continuously compounded interest rate is 5%. Determine X.
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