Question
Suppose Amazon stock is trading for $ 485 per share, and Amazon pays no dividends. a. What is the maximum possible price of a call
Suppose Amazon stock is trading for $ 485 per share, and Amazon pays no dividends.
a. What is the maximum possible price of a call option on Amazon?
b. What is the maximum possible price of a put option on Amazon with a strike price of $ 525 ?
c. What is the minimum possible value of a call option on Amazon stock with a strike price of $ 450 ?
d. What is the minimum possible value of an American put option on Amazon stock with a strike price of $ 550 ?
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Contemporary Financial Management
Authors: R. Charles Moyer, James R. Mcguigan, William J. Kretlow
9th Edition
032416470X, 9780324164701
