Price of call option on a share of Company As stock = $5 Strike price of call option = $39 Time to expiry of call option = 1 year Price of put option on a share of Company As stock = $2 Strike price of put option = $35 Time to expiry of put option = 1 year

If you want to hedge the future purchase (buying at the end of the year) of a share of Company As stock then the maximum effective cost of buying a share of Company As stock, taking into account the cost of the option, is

Group of answer choices

A) $33

B) $34

C) $37

D) $44

Price of call option on a share of Company As stock = $5 Strike price of call option = $39 Time to expiry of call option = 1 year Price of put option on a share of Company As stock = $2 Strike price of put option = $35 Time to expiry of put option = 1 year

If you want to hedge the future sale (selling at the end of the year) of a share of Company As stock then the minimum effective revenue from selling a share of Company As stock, taking into account the cost of the option, is

Group of answer choices

A) $44

B) $34

C) $33

D) $37