What is the price of a european put option

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When the non-dividend paying stock price is $20, the strike price is $20, the risk-free rate is 6%, the volatility is 20% and the time to maturity is three months. No excel, write the problem out how you usually would

(a) What is the price of a European put option on the stock using BSM model?

(b) At what stock price the seller of the European put will break even?

Reference no: EM132505922

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