12)On March 2, a Treasury bill expiring on March 21 had a bid discount of 3.61, and an ask discount of 3.59. What is the best estimate of the risk-free

rate for the option contract expires on March 22?

Answers:

3.72 %

3.67%

3.62%

3.60%

13)Which of the following statements is TRUE?

I. The maximum value of a call is the strike price. II. The maximum value of a put is the stock price.

Answers:

II

Both I and II are true.

I

Both I and II are not true.