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Suppose on the market, you observe a put and a call both with a strike of $55 that expires in 3 months and sell for
Suppose on the market, you observe a put and a call both with a strike of $55 that expires in 3 months and sell for $0.88 and $5.20, respectively. Both options have the same underlying stock and if the stock is currently priced at $58.38, what is the annual continuously compounded rate of interest?
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