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Price of a corresponding american put option

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October 14, 2020 (11:38 am), the shares of Facebook, Inc (FB) are trading at $273.61. The company does not pay any dividend. American Calls with a strike price of $310 and a March 19, 2020 (about 5 months from now) expiration are trading at $17.75 The appropriate LIBOR is 0.92%. Derive the upper and lower bound for the price of a corresponding American Put option.

Reference no: EM132674743

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