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Financial Math Consider a continuous-dividend-paying stock with the current price of $45 and dividend yield 0.025. The continuously compounded, risk-free interest rate is 0.042. Consider
Financial Math Consider a continuous-dividend-paying stock with the current price of $45 and dividend yield 0.025. The continuously compounded, risk-free interest rate is 0.042. Consider a pair of six-month, $50-strike, $45-trigger gap options. The gap call sells for $1.70. What is the price of the gap put?
Consider a continuous-dividend-paying stock with the current price of $45 and dividend yield 0.025. The continuously compounded, risk-free interest rate is 0.042. Consider a pair of six-month, $50-strike, $45-trigger gap options. The gap call sells for $1.70. What is the price of the gap put?
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Cash Flow Stock Investing
Authors: Randall Stewart
1st Edition
1980883300, 978-1980883302
