Question
You are considering purchasing a call option on a stock with a current price of $30.13. The exercise price is $32.46, and the price of
You are considering purchasing a call option on a stock with a current price of $30.13. The exercise price is $32.46, and the price of the corresponding put option is $3.99. According to the put-call parity theorem, if the risk-free rate of interest is 2.2% and there are 76 days until expiration, what is the value of the call? (Hint: Use 365 days in a year.)
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Investments An Introduction
Authors: Herbert B Mayo
9th Edition
324561385, 978-0324561388
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