Consider the Following Data for a European Option: Expiration =

question 13

Multiple Choice

Consider the following data for a European option: Expiration = 6 months; Stock price = $80; Exercise price = $75; Call option price = $12; Risk-free rate = 5 percent per year. Using put-call parity, calculate the price of a put option having the same exercise price and expiration date.

• A)$3.07
• B)$5.19
• C)$11.43
• D)$3.42

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