Question: You are considering purchasing a put on a stock with a current price of $33. The exercise price is $35, and the price of the
You are considering purchasing a put on a stock with a current price of $33. The exercise price is $35, and the price of the corresponding call option is $3.25. According to the put-call parity theorem, if the risk-free rate of interest is 4% and there are 90 days until expiration, the value of the put should be:
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