Price of a put option with the same exercise price


Problem:

A call option is currently selling for $5.30. It has a strike price of $60 and six months to maturity. The current stock price is $62, and the risk-free rate is 3.3 percent. The stock will pay a dividend of $2.15 in two months.

Required:

Question: What is the price of a put option with the same exercise price?

Note: Please provide through step by step calculations.

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Accounting Basics: Price of a put option with the same exercise price
Reference No:- TGS0885212

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