In June 2001 a six-month call on Intel stock, with an exercise price of $22.50, sold for

Question:

In June 2001 a six-month call on Intel stock, with an exercise price of $22.50, sold for $2.30. The stock price was $27.27. The risk-free interest rate was 3.9 percent. How much would you be willing to pay for a put on Intel stock with the same maturity and exercise price?

Maturity
Maturity is the date on which the life of a transaction or financial instrument ends, after which it must either be renewed, or it will cease to exist. The term is commonly used for deposits, foreign exchange spot, and forward transactions, interest...