A stock pays dividends of 1 every three months, currently has a price of 58.70. For this
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A stock pays dividends of 1 every three months, currently has a price of 58.70. For this stock you wish to offer Call(55.2) and a Put(65.3), determine the lower and upper limits for these options so that arbitrage is not allowed using a risk-free interest rate of 4.5% per annum.
Related Book For
Quantitative Analysis for Management
ISBN: 978-0133507331
12th edition
Authors: Barry Render, Ralph M. Stair, Michael E. Hanna, Trevor S. Ha
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