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A call has a price of $7.22 while a put with the same strike has a price of $5. Given that the risk-free rate is
A call has a price of $7.22 while a put with the same strike has a price of $5. Given that the risk-free rate is a continuous rate of 4.4% p.a. and that both options have 4 months to maturity, what must be the strike price of these options if the current underlying asset for both is trading for $26.26/share in the market today
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Public Finance And Public Policy
Authors: Arye L. Hillman
2nd Edition
0521738059, 978-0521738057
