What is the estimation of a put choice

Assignment Help Finance Basics
Reference no: EM13911497

the after data is accessible for a call alternative:

Time to lapse (months) 3

Hazard free rate          8%

Activity value Rs.60 Stock value Rs.70

Call cost          Rs.14

What is the estimation of a put choice if the time to lapse is 3 months, hazard free rate is 8%, activity cost is Rs.60 and the stock cost is Rs.70?Insight : Use put-call equality hypothesis

Reference no: EM13911497

Questions Cloud

Construct a pro forma income statement : Construct a pro forma income statement for the first year and second year for the following assumptions: In year 2, Price per unit increases to $11.50, and unit of sales increases by 5%, all other assumptions remain the same.
What will be its stock price the stock repurchase : Beta Industries has net income of $1,300,000, and it has 330,000 shares of common stock outstanding. The company's stock currently trades at $44 a share. Beta is considering a plan in which it will use available cash to repurchase 30% of its shares i..
What is the present estimation of lakshmi limited : What is the present estimation of Lakshmi Limited's value, S0, and obligation, B0?
What is the estimation of the call alternative : What is the estimation of the call alternative? Utilize the ordinary circulation table and resort to straight insertion
What is the estimation of a put choice : What is the estimation of a put choice if the time to lapse is 3 months, hazard free rate is 8%, activity cost is Rs.60 and the stock cost is Rs.70?Insight : Use put-call equality hypothesis
What is the estimation of the call alternative : What is the estimation of the call alternative if the danger free rate is 10 percent? Utilize the alternative proportionate strategy,What is the estimation of the call alternative if the danger free rate is 6 percent? Utilize the danger nonpartisan s..
What is the extension for gratefulness in business sector : What is the extension for gratefulness in business sector cost of the three stocks-would they say they are exaggerated or underestimated
What is the normal return and danger of the portfolio : What is the normal return and danger (standard deviation) of the portfolio.What is the extension for gratefulness in business sector cost of the three stocks-would they say they are exaggerated or underestimated?
What is the alpha of the forceful stock : What is the proportion of the beta of the forceful stock to the beta of the protective stock? What is the alpha of the forceful stock?

Reviews

Write a Review

Finance Basics Questions & Answers

  Define the appropriate target population and the sampling

define the appropriate target population and the sampling frame in each of the following situationthe manufacture of a

  How much will he have when he starts his business

In addition, family just gives him $25,000 graduation gift which he will deposit immediately (t =0). if the accounts earns 9% compounded annually, how much will he have when he starts his business 12 years from now.

  If the firm has 4 million per day in collections and 3

beths society clothiers inc. has collection centers across the country to speed up collections. the company also makes

  Which alternative is acceptable for mr. a and why

A few days ago, Mr. A has purchased a lottery. Fortunately, he has received a letter from the lottery officials that he has won that lottery.

  What is their present value to you

What is their present value to you? Round your answer to the nearest cent.

  Explain the major economic andor other salient business

explain the major economic andor other salient business environmental factors that are likely to impact the

  Create a x-y scatter plot of your data

Create a X-Y scatter plot of your data, with the return on the stock as the vertical axis and the return on the market as the horizontal axis. Name this chart as SCATTER in your workbook and be sure to label the axes.

  Evaluation of pro forma financial statements

Assuming that the executive leadership includes several former accountants, how would the organizational goals influence the preparation and evaluation of pro forma financial statements?

  The company uses the historical difference in returns

airvalue airways is a regional carrier whose strategy is to expand gradually as they can identify routes that offer an

  Value bond with annual payments

What is the value of a $1,000 par value bond with annual payments of an

  Assignment regarding business financing-capital structure

Businesses have to make many financial decisions that have a direct impact on operations and the ability to successfully compete in the marketplace. Base your writing on the information from the course coupled with information located in the Stray..

  Assume that you are an external adviser of a chinese

assume that you are an external adviser of a chinese chemical firm which produces in korea for a market in france. the

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd