Question: One thing put-call parity tells us is that given any three of a stock, a call, a put, and a T-bill, the fourth can be
One thing put-call parity tells us is that given any three of a stock, a call, a put, and a T-bill, the fourth can be synthesized or replicated using the other three. For example, how can we replicate a share of stock using a call, a put, and a T-bill?
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