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1-Apple stock is trading at 489.64 today. If Apple stock call option expiring in 7 days at strike 300.0 is trading at $100, what is

1-Apple stock is trading at 489.64 today. If Apple stock call option expiring in 7 days at strike 300.0 is trading at $100, what is the lower boundary of the call option?

2- Describe the relationship between option (put and call) value and the following factors:

Stock price

Strike K

Time to maturity T

Volatility

Risk-free rate r

3-Use the supplemented data sheet to show me the put-call parity of Apple stocks striking $120 or $125, expiring on Feb 2016. Make sure to list the data you use in the analysis.

4-Use the supplemented data sheet to derive the upper and lower- boundary for call and put striking at $120, expiring on Feb 2016. Is the real price within the boundaries? (two boundaries for call, and two boundaries for put)

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