The current forward price of one ounce of platinum for delivery one year from now is $1,800.

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The current forward price of one ounce of platinum for delivery one year from now is $1,800. The current prices of some one-year European options on one ounce of platinum are shown below:

Price Information

Strike Price Call Price Put Price

$1,650 $465 $330

$1,920 $??? $480

Based on these quoted prices, what is the price of the missing call option? Assume no cost of carry and no convenience yield.

Related Book For answer-question

International Financial Management

ISBN: 9780077861605

7th Edition

Authors: Cheol Eun, Bruce Resnick

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Posted Date: Oct 24, 2023 12:27 AM

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The current forward price of one ounce of platinum for delivery one year from now is $1,800.

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Expert Answer:

To determine the missing call option pricewe can use the principle of pullcall p... View the full answer

International Financial Management

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