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Call Price . Strike . Put Price 6.09 . 321 2.10 5.39 322 .. 2.40 ? 322.50 ? 4.72 323 2.73 Based on these prices,

Call Price . Strike . Put Price 6.09 . 321 2.10 5.39 322 .. 2.40 ? 322.50 ? 4.72 323 2.73 Based on these prices, please answer the following question:

A. What is the price of the underlying asset? Assume that both dividends and interest rates are zero.

B. What is the highest possible price for the call of strike 322.50? You only get points for the lowest highest price you can come up with, e.g., you will not get credit for stating that the price of the call cannot be higher than 5.39.

C. What is the lowest possible price for the call of strike 322.50? You only get points for the highest lowest price you can come up with e.g., you will not get credit for stating that the price of the call cannot be lower than 4.72

D. What is your best estimate of the price of the put of strike 322.50?

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