Question
You buy a share of stock, write a one-year call option with X = $20, and buy a one-year put option with X = $20.
| You buy a share of stock, write a one-year call option with X = $20, and buy a one-year put option with X = $20. Your net outlay to establish the entire portfolio is $18.60. What must be the risk-free interest rate? The stock pays no dividends. (Do not round intermediate calculations. Round your answer to 2 decimal places.) |
| Risk-free rate | % |
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The Nurse Managers Guide To Budgeting And Finance
Authors: Al Rundio
2nd Edition
1940446589, 978-1940446585
