Question
A companys stock is selling for $13.92 a share. The 6-month, $15 strike, European put on its stock is selling for $2.06 while the continuously
A companys stock is selling for $13.92 a share. The 6-month, $15 strike, European put on its stock is selling for $2.06 while the continuously compounded risk-free rate is 6.3%. What is the price of the European call using put-call parity?
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Analysis For Financial Management
Authors: Robert Higgins, Jennifer Koski, Todd Mitton
13th Edition
1260772365, 978-1260772364
