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I am trying to value a one-period call option on Ferrari (RACE) with a strike price of $32. The current risk-free rate is 10%. Next
I am trying to value a one-period call option on Ferrari (RACE) with a strike price of $32. The current risk-free rate is 10%. Next year, the price of RACE will be $38 if the economy is good or $22 if the economy is bad. Unfortunately, I don't know the current stock price for RACE. However, I know that a put option on RACE with a strike price of $30 has a current price of $2.80. I need the value of the call option.
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