Consider the Following Equation: C = P + S -

question 87

Multiple Choice

Consider the following equation: C = P + S - PV(K) - PV(Div)
In this equation,what does the term K represent?

• A)the value of the call option
• B)the strike price of the option
• C)the price of a zero-coupon bond
• D)the stock's current price
• E)the value of the put option

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