The current price of a stock is $35, and the annual risk-free rate is 3%. A call option with a strike price of $31 and with 1 year until expiration has a current value of $6.74. What is the value of a put option written on the stock with the same exercise price and expiration date as the call option?

XYZ stock has a current market price of $47.60 a share. the one-year call on XYZ stock with a strike price of $45 is priced at $3.20 whole the one-year put with a strike price of $45 is priced at $0.15. What is the risk-free rate of return?

Assume that an investor holds the following portfolio: short stock bought at a price 90$, long one 3- month maturity call option on the same stock with an exercise price of $88. a) Show the payoff structure of this portfolio at option expiration both numerically and graphically. b) Calculate the profit/loss on this position if stocks are selling at $80 on the option maturity date. Calculate the profit/loss on the position if the stocks are selling at $110. Call option premium is $5, while put option premium is $3. Ignore the transaction costs. c) Explain what kind of "bet" the investor is making. What must the investor in such a portfolio believe about the stock price to justify this position?

A put option that expires in six months with an exercise price of $65 sells for $4.45. The stock is currently priced at $61, and the risk-free rate is 3.9 percent per year, compounded continuously. What is the price of a call option with the same exercise price? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) X Answer is complete but not entirely correct. Call price $ 1.68 X