MUST use the attached Normal Distribution table. What is the price of a call option if the

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MUST use the attached Normal Distribution table.

What is the price of a call option if the underlying stock price is $81, the strike price is $90, the underlying stock volatility is 50 percent, and the risk-free rate is 3 percent? Assume the option has 2 months to expiration.

Is this call option in the money or out of the money? Explain
Find the time value of this call option
Find the price of a put option with the same strike price and maturity
Is this put option in the money or out the money?
Find the time value of this option.

Related Book For answer-question

Fundamentals Of Investments Valuation And Management

ISBN: 9781266824012

10th Edition

Authors: Bradford Jordan, Thomas Miller, Steve Dolvin

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Posted Date: May 18, 2024 07:16 PM

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MUST use the attached Normal Distribution table. What is the price of a call option if the

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Fundamentals Of Investments Valuation And Management

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