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A call option on GMSS stock with a strike price of $20 and an expiration date 9 months from now is worth $2 today. A
A call option on GMSS stock with a strike price of $20 and an expiration date 9 months from now is worth $2 today. A put option on GMSS stock with a strike price of $20 and an expiration date 9 months from now is worth $5.58 today. The risk-free rate of return is 4%, and the stock pays no dividends. According to put-call parity, the GMSS stock should be worth ________ today. (Use continuous compounding interest rate)?
$15.71 | ||
$15.98 | ||
$16.38 | ||
$33.98 | ||
None of the above |
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