Find a call option and put option for a publicly traded company that have the same expiration date and exercise price.
(a) Calculate the price of the call and put options using the Black-Sholes pricing model. Assume r = 1% and σ = .20
(b) Compare the results of (a) to the midpoint of the bid-ask spread of the actual option prices. What is the most likely answer why the results differ?
(c) Using actual prices, does put-call parity hold for these options? Show your calculation.