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Prove the result in equation c+D+Ke^(-rT)=p+S0 (Hint: For the first part of the relationship, consider (a) a portfolio consisting of a European Call plus an
Prove the result in equation c+D+Ke^(-rT)=p+S0
(Hint: For the first part of the relationship, consider (a) a portfolio consisting of a European Call plus an amount of cash equal to D+K, and (b) a portfolio consisting of an American put option plus one share.)
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Introduction To Finance Financial Management And Investment Management
Authors: Pamela P. Drake, Frank J. Fabozzi, Francesco A. Fabozzi
1st Edition
9811239657, 978-9811239656
