Question
A call option is currently selling for $4.60. It has a strike price of $60 and three months to maturity. A put option with the
A call option is currently selling for $4.60. It has a strike price of $60 and three months to maturity. A put option with the same strike price sells for $7.20. The risk-free rate is 6 percent, and the stock will pay a dividend of $2.10 in three months. What is the current stock price?
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Public Finance A Contemporary Application Of Theory To Policy
Authors: David N. Hyman
5th Edition
0030113172, 978-0030113178
