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What is the price per share

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Question - A stock is priced at $48.24 per share. The stock does not pay dividends. A European put option on the stock is priced at $1.74 per share. The put option expires in 2 months and has a strike price of $44 per share. Suppose the interest rate for continuous compounding is 2.48%. To rule out arbitrage, what is the price per share of an otherwise similar call option?

Reference no: EM132889394

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