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Which of the following choice will be the best action today, given Stock Price $52 Risk-free rate 10.5% (continuous compounding) 1-yr $50 Call option price
Which of the following choice will be the best action today, given
Stock Price | $52 |
Risk-free rate | 10.5% (continuous compounding) |
1-yr $50 Call option price | $14 |
1-yr $50 Put option price | $6 |
Group of answer choices
a."sell call, buy put, buy stock"
b. "sell call, buy put, sell stock"
c. "buy call, sell put, sell stock"
d."buy call, sell put, buy stock"
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