Question
A put with exercise price = $40 has a price of $1. A call option with the same exercise price costs $5. r f =
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A put with exercise price = $40 has a price of $1. A call option with the same exercise price costs $5. rf = 5%. Option has 3-months left to expiration. Estimate the stocks current price.
1. $45.5
2. $38.5
3. $40.5
4. $43.5
5. $48.5
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American Public School Finance
Authors: William A. Owings, Leslie S. Kaplan
1st Edition
0495807834, 9780495807834
