Question
A call option with an exercise price of $55 and four months to expiration has a price of $4.05. The stock is currently priced at
A call option with an exercise price of $55 and four months to expiration has a price of $4.05. The stock is currently priced at $54.80, and the risk-free rate is 3 percent per year, compounded continuously. What is the price of a put option with the same exercise price?
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Financial Management Core Concepts
Authors: Raymond M Brooks
3rd edition
133866696, 978-0133866698
