Question: (a) The table below shows the data relating to two put options. Stock Expiration EX. Price 0 Beta Option Price A 6 months 50 .20

(a) The table below shows the data relating to two put options. Stock Expiration EX. Price 0 Beta Option Price A 6 months 50 .20 1.5 $10 B 6 months 50 .25 1.2 $10 Appraise the fwa (2) put options and determine which stock has the lower price. Assume both put options are in-the-money. Use the following format for your answer: Stock A has the lower price: True / False / Cannot be determined {choose one) Reason

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