Luther industries is currently trading for 27 per


Luther Industries is currently trading for $27 per share.  The stock pays no dividends.  A one-year European put option on Luther with a strike price of $30 is currently trading for $2.60.  If the risk-free interest rate is 6% per year, then the price of a one-year European call option on Luther with a strike price of $30 will be closest to:

A) $1.30

B) $2.60

C) $1.95

D) $7.10

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Financial Management: Luther industries is currently trading for 27 per
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