Non-Dividend Paying Stock XYZ Is Trading at $20

question 2

Multiple Choice

Non-dividend paying stock XYZ is trading at $20.The risk free rate is 2%.The minimum price of a four-month American put option at strike $22 is

• A)$0
• B)$1.27
• C)$1.89
• D)$2.00

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Definitions:

Social Media

Online platforms that enable users to create, share content, and participate in social networking.

Marketing Mix

The mix of elements a company can manage to encourage consumers to buy its offerings, commonly known as product, price, location, and marketing.

Four Ps

Refers to the marketing mix elements: Product, Price, Place, and Promotion, used to achieve marketing objectives.

Nonprofit Organizations

Organizations that operate for collective, public or social benefit, rather than to generate profit for owners or investors.