What is the risk-free interest rate expressed as an


Netflix is selling for $105 a share. A Netflix call option with one month until expiration and an exercise price of $121 sells for $2.50 while a put with the same strike and expiration sells for $18.00. a. What is the market price of a zero-coupon bond with face value $121 and 1-month maturity? b. What is the risk-free interest rate expressed as an effective annual yield?

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Financial Management: What is the risk-free interest rate expressed as an
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