Question: The answer is 13.13 but I do not know how to get to it. A trader sold a portfolio containing 4 call options and 2
A trader sold a portfolio containing 4 call options and 2 put options on a stock. Both put and call options are European and have the same maturity of 4,0 years. The call option has a strike price of $12 and costs $0.87. The put option has a strike price of $2 and costs $0.52. Today the stock costs $8.00 per share. What is the break-even stock price, expressed in $ per share, above which the trader makes a loss? Round your final result to the nearest cents and input one number only, without units or percentage sign [%), using the dot.) to separate decimals
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