Question
A non-dividend paying stock is trading $125 per share and a 6-month at-the-money European put option is $7.84. The risk-free rate is 3.00%. What is
A non-dividend paying stock is trading $125 per share and a 6-month at-the-money European put option is $7.84. The risk-free rate is 3.00%. What is the 6-month European call option price? Round to the nearest $0.01.
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Cost Benefit Analysis
Authors: Harry F. Campbell, Richard P.C. Brown
3rd Edition
1032320753, 9781032320755
