What Is the Put Option Premium Given the Following Information

question 35

Multiple Choice

What is the put option premium given the following information?
$$\begin{array} { l l } \text { Stack price } & \$ 26 \\\text { Strike price } & \$ 30 \\\text { Standard deviation } &35\%\\\text { Rigk-free rate }&1.3\% \\\text { Dividend yield } &0\%\\\text { Time (years) }&.25\end{array}$$

• A)$3.62
• B)$4.27
• C)$4.49
• D)$4.69
• E)$5.08

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