Question
For all questions, assume you are a customer, not a dealer and assume all option contracts are for one share. Signs matter. Negative numbers, e.g.,
For all questions, assume you are a customer, not a dealer and assume all option contracts are for one share. Signs matter. Negative numbers, e.g., premium paid, should be shown as such. Use the Answer Sheet provided to submit your answers. Enter all dollar and percentage answers to two decimals. 18. Based on put call parity, write the equation for synthetic long call. For example, a synthetic long stock would be written as: S0= C+Xe(-r*t)-p 19. Based on put call parity, write the equation for synthetic long put. For example, a synthetic long stock would be written as: S0= C+Xe(-r*t)-p
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