Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. an investor wants to purchase a stock that sells f

An investor wants to purchase a stock that sells for $48. What is the value...

80.2K

Verified Solution

Question

Finance

An investor wants to purchase a stock that sells for $48. What is the value of a one-year put option to buy the stock at $45, if debt currently yields 8% and the standard deviation of stock returns is 11%? a. $3.84 b. $6.68 c. $5.28 d. $3.00

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Biology
1.2K views

Microbiology question Q:why Quorum sensing is important to biofilm dispersion?

Chemistry
1.2K views

A. 100ml of 0.5M acetic avid is titration with 20ml of 0.5M KOH. What is the...

Physics
1.2K views

Q A particle moving with velocity is acted by three forces shown by the vector...

Basic Math
1.2K views

es Factor Company is planning to add a new product to its line To manufacture...

Basic Math
1.2K views

An influenza epidemic spreads at a rate proportional to the product of the number of...

Basic Math
1.2K views

The function graphed to the right is of the form y a sin bx or...

Calculus
1.2K views

19 A furnace manufacturer wants to know how much of the metal surface area is...

Accounting
1.2K views

Please help me solve the following info, Data table ten Data table Crandell...

Accounting
1.2K views

= 14. Which of the following test results would tell you that the errors in...

Accounting
1.2K views

Laker Company reported the following January purchases and sales data for its only product. ...

Accounting
1.2K views

For each item, identify & describe at least three internal control procedures that would reduce...

Accounting
1.2K views

C i Ch 08 Quz Help Save&Exit Su MC Qu. 80 Peavey 6 Peavey Enmerprises...