AAPL is currently trading for $95 per share. The stock pays no dividends. A one-year European put option on AAPL with a strike price of $90 is currently trading for $7.60. If the risk-free interest rate is 2% per year, then the price of a one-year European call option on AAPL with a strike price of $90 will be closest to:
AAPL is currently trading for $95 per share. The stock pays no dividends. A one-year European put option on AAPL with a strike price of $90 is currently trading for $7.60. If the risk-free interest rate is 2% per year, then the price of a one-year European call option on AAPL with a strike price of $90 will be closest to:
Chapter20: Financing With Derivatives
Section: Chapter Questions
Problem 2P
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AAPL is currently trading for $95 per share. The stock pays no dividends. A one-year European put option on AAPL with a strike price of $90 is currently trading for $7.60. If the risk-free interest rate is 2% per year, then the price of a one-year European call option on AAPL with a strike price of $90 will be closest to:
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