medium · Quantitative Finance derivatives
A European call option on a non-dividend stock trades at 4.50. The current spot price is 50, the strike price is 50, and the time to expiry is 0.5 years.
Given a continuously compounded risk-free rate of 5%, what is the price of the corresponding European put option?
- 4.50
- 1.23
- 5.73
- 3.27
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