Suppose an investor holds two portfolios. In portfolio A there are:Suppose an investor holds two portfolios. In portfolio A there are:

A European put with one$-$year maturity and the strike price of $$25.$

A share of stock, which is currently priced at $$22.$

n portfolio B there are:

A European call with one$-$year maturity and the strike price of $$25.$

A one$-$year bond with a continuous compound interest rate of $5\%$ that pays $$25$ at the end of one

year.

Which portfolio, A or B$,$ is more valuable to the investor?

O Portfolio A is more valuable.

O Portfolio B is more valuable.

O Unclear. It depends on the future stock price.

O Portfolio A and B are equally valuable.

A European put with one$-$year maturity and the strike price of $$25$

$.$

A share of stock, which is currently priced at $$22$

$.$

In portfolio B there are:

A European call with one$-$year maturity and the strike price of $$25$

$.$

A one$-$year bond with a continuous compound interest rate of $5\%$ that pays $$25$

at the end of one year.

Which portfolio, A or B$,$ is more valuable to the investor?