You receive a call from a client wishing to go long in a


Trip Advisor (Ticker: TRIP) has options traded on it in the OTC market. TRIP pays no dividend. You can’t get a quote on TRIP but you observe the following prices on European put and call options on TRIP: Strike = 100 Maturity (T) = 6 months Call Price = $7.00 Put Price = $7.00. You receive a call from a client wishing to go long in a forward contract on TRIP stock. What would be a fair forward price to quote your client?

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Financial Management: You receive a call from a client wishing to go long in a
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