Question
GS, Inc. stock is selling for $28 a share. A 3-month call on GS stock with a strike price of $30 is priced at $1.50.
GS, Inc. stock is selling for $28 a share. A 3-month call on GS stock with a strike price of $30 is priced at $1.50. Risk-free assets are currently returning 0.3% per month (approximately 3.66% annually.) What is the price of a 3-month put on GS stock with a strike price of $30? PLEASE SHOW YOUR WORK.
a. $0.50
b. $2.02
c. $2.73
d. $3.22
e. $4.02
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Essentials Of Health Care Finance
Authors: William O. Cleverley, James O. Cleverley, Paula H. Song
7th Edition
0763789291, 978-0763789299
