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Quetals stock trades at $68 per share. r = .08.T = 1 year=time to maturity. Both call and put options with different strike

how do we get the .91 the put call

how we get .91
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Answer #1

We see that from put call parity

Call price=Stock price+Put price-Present value of strike price

C=S+P-X*e^(-rt)

=>P=C+X*e^(-rt)-S=8.9046+65*e^(-0.08*1)-68=0.91

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