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Please show Data table The market price is $2 Look at the Facebook option quotes in Figure 14.1, and focus on the call and put
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Data table The market price is $2 Look at the Facebook option quotes in Figure 14.1, and focus on the call and put options with a strike price of $215. Can you use put-call parity to infer what the market price of Facebook stock must have been when these option prices were quoted? To keep things simple, assume the options expire in one month, and that the risk-free rate at the time was 0%. (Hint: To use put-call parity, you need to find the market price of a risk-free, zero-coupon bond with a face value equal o the strike price of the options.) The market price is $211.80. (Round to the nearest cent.)Step by Step Solution
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