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PLEASE ANSWER ASAP I WILL GIVE THUMBS UP You are considering purchasing a call option on the National Paper stock. Using the information in Question
PLEASE ANSWER ASAP I WILL GIVE THUMBS UP
You are considering purchasing a call option on the National Paper stock. Using the information in Question 10, the value of the call should be __________, if the put-call parity theorem holds.
THE QUESTION IS CALCULATE THE VALUE OF THE CALL IF THE PUT-CALL PARITY THEOREM HOLDS
\begin{tabular}{|c|c|c|} \hline \multicolumn{3}{|l|}{\begin{tabular}{l} Liabilities and shareholders' equity \\ Liabilities \end{tabular}} \\ \hline \multicolumn{3}{|l|}{ Current Liabilities } \\ \hline \begin{tabular}{l} Acoounts payable \\ Short-term debt \end{tabular} & \begin{tabular}{r} $,300,000.00 \\ 7,700,000.00 \\ \end{tabular} & \begin{tabular}{r} 5,735,340.00 \\ 7,602,660.00 \\ \end{tabular} \\ \hline Total current liabilities & $14,000,000.00 & $13,338,000.00 \\ \hline Long-term bonds & $18,572,800.00 & $16,302,000.00 \\ \hline Total liabilities & $32,572,800.00 & $29,640,000.00 \\ \hline \multicolumn{3}{|l|}{ Equity } \\ \hline Common stook & $8,255,520.00 & $10,062,000.00 \\ \hline Retained earnings & 15,331,680.00 & 12,298,000.00 \\ \hline Total shareholders' equity & $23,587,200.00 & $22,360,000.00 \\ \hline Total liabilities and shareholders' equit & 56,160,000.00 & $52,000,000.00 \\ \hline \end{tabular}Step by Step Solution
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