Problem 22-6 Put-Call Parity A stock is currently selling for $73 per share. A call option...

Question

Question

Problem 22-6 Put-Call Parity A stock is currently selling for $73 per share. A call option with an exercise price of $77 sell

Answer 1

Answer #1

Let put price be Po. T= 3112 = 1/4 years So = 73 x = 77 Co = 3065 Rf = 3.3% Acc. to put call parity, Po & so = Co + x ent =>

Answer 2

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