Please could you help me with this practise question my
exam is on Monday and i don't understand
I believe it uses the put
option parity which is P= Current price + PV(X) - share price
I keep getting 3. A share has a current price of £12.50 and is reported to have volatility (standard deviation of continuously compounded annual rate of return) of 12.50%. The risk-free rate of return is 0.75% per