Go to www.numa.com and look under the section titled Options and follow the calculator link. You purchased

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Go to www.numa.com and look under the section titled “Options” and follow the calculator link. You purchased a call option for $10.50 that matures in 51 days. The strike price is $100, and the underlying stock has a price of $102. If the risk-free rate is 4.8 percent, compounded continuously, what is the implied return standard deviation of the stock? Using this implied standard deviation, what is the price of a put option with the same characteristics?

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Related Book For  answer-question

Fundamentals Of Corporate Finance

ISBN: 9780072553079

6th Edition

Authors: Stephen A. Ross, Randolph Westerfield, Bradford D. Jordan

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