Question
A put option with a strike price of $50 sells for $3.20. The option expires in two months, and the current stock price is $51.
| A put option with a strike price of $50 sells for $3.20. The option expires in two months, and the current stock price is $51. If the risk-free interest rate is 5 percent, what is the price of a call option with the same strike price? (Do not round intermediate calculations. Round your answer to 2 decimal places. Omit the "$" sign in your response.) |
| Price of a call option | $ |
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Finance And Financial Markets
Authors: Keith Pilbeam
3rd Edition
023023321X, 978-0230233218
