A call option on jupiter motors stock with an exercise


A call option on Jupiter Motors stock with an exercise price of $85 and one-year expiration is selling at $3. A put option on Jupiter stock with an exercise price of $85 and one-year expiration is selling at $1.5. If the risk-free rate is 9% and Jupiter pays no dividends, what should the stock price be? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

Request for Solution File

Ask an Expert for Answer!!
Financial Management: A call option on jupiter motors stock with an exercise
Reference No:- TGS01418448

Expected delivery within 24 Hours