What is the value of a 4-month european put option

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Currently, a stock price is $80. It is known that at the end of 4 months it will be either $71 or $90. The risk-free rate is 6% per annum with continuous compounding. What is the value of a 4-month European put option with a strike price of $80?

Reference no: EM13305283

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What is the value of a 4-month european put option : Currently, a stock price is $80. It is known that at the end of 4 months it will be either $71 or $90. The risk-free rate is 6% per annum with continuous compounding. What is the value of a 4-month European put option with a strike price of $8..
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