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i. Using the prices below check to see if put-call parity holds for the October 2002 Microsoft options with K=45.The prices below are closing prices
i. Using the prices below check to see if put-call parity holds for the October 2002 Microsoft options with K=45.The prices below are closing prices on 9/13/02.Equity options expire on the third Friday of the expiration month.The 3 month T-Bill rate on 9/13/02 was 1.645%.If it doesn't hold, give some reasons why.
ii. Now using the more detailed prices below, check to see if there is a violation of put-call parity.
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