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A call option is currently selling for $6.40. It has a strike price of $55 and six months to maturity. A put option with the same strike price sells for $7.40. The risk-free rate is 5.3 percent, and the stock will pay a dividend of $2.70 in three months. What is the current stock price? (Do not round intermediate calculations. Round your answer to 2 decimal places. Omit the "$" sign in your response.) Current stock price $

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M91772017

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