Foreign exchange derivatives

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A call option presently sells for $20. It has a strike price of $90 and 4 months to maturity. A put with the same strike and expiration date sells for $9. Compute the current stock price if the risk-free interest rate is 5 percent. Foreign Exchange Derivatives)

Use This Formula:

S = C - P + Ke-rT

Reference no: EM132589648

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