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The price of an American call on a non-dividend-paying stock is S5. The stock price is $29, the strike price is $28, and the expiration
The price of an American call on a non-dividend-paying stock is S5. The stock price is $29, the strike price is $28, and the expiration date is in six months. The risk-free interest rate is 8%. Th American put on the same stock with the same strike price and expiration date are respectively e lower and upper bounds for the price of an 2.0979 2.40596 3 2.0979 4 2.902104 4
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