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elf_fu elf_fu
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7 years ago
A strategy consists of longing a put on the market index with a strike of 830 and shorting a call option on the market index with a strike price of 830. The put premium is $18.00 and the call premium is $44.00. Interest rates are 0.5% per month. What is the breakeven price of the market index for this strategy at expiration (in 6 months)?
A) $802.12
B) $830.00
C) $855.21
D) $866.32
Textbook 
Derivatives Markets

Derivatives Markets


Edition: 3rd
Author:
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phuongha2892phuongha2892
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#1
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7 years ago
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elf_fu Author
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7 years ago
Thank you, thank you, thank you!
MAry1395
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Yesterday
I appreciate what you did here, answered it right Smiling Face with Open Mouth
aricketts6@
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2 hours ago
Correct Slight Smile TY
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