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A put option on a stock with a current price of $3...

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A put option on a stock with a current price of $33 has an exercise price of $35. The price of the corresponding call option is $2.25. According to put-call parity, if the effective annual risk-free rate of interest is 4% and there are three monthls until expiration, what should be the value of the put?

 

Paper#7239 | Written in 18-Jul-2015

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