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Question
Consider the case of an exchange option in which the underlying stock is Eli Lilly and Company with a current price of $56.00 per share. The strike asset is Merck, with a per share price of $52.00. Interest rates are 5% and the 3-month call option is trading for $7.00. What is the price of the put?A) $3.00
B) $4.00
C) $7.00
D) $11.00
Answer
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Related questions
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