When the non-dividend paying stock price is 20 the strike


When the non-dividend paying stock price is $20, the strike price is $20, the risk-free rate is 5%, the volatility is 20% and the time to maturity is 3 months which of the following is the price of a European put option on the stock

a. 19.7N(-0.1)-20N(-0.2)

b. 20N(-0.1)-20N(-0.2)

c. 19.7N(-0.2)-20N(-0.1)

d. 20N(-0.2)-20N(-0.1)

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Finance Basics: When the non-dividend paying stock price is 20 the strike
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