Consider a one-year maturity call option and a one-year put option on the same stock, both with striking price $45. If the risk-free rate is 4%, the stock price is $48, and the put sells for $1.50, what should be the price of the call?
A) $4.38
B) $5.60
C) $6.23
D) $12.26
E) None of the options.

Question

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The Answer of Consider a one-year maturity call option and a one-year put option on the same stock, both with striking price $45. If the risk-free rate is 4%, the stock price is $48, and the put sells for $1.50, what should be the price of the call?
A) $4.38
B) $5.60
C) $6.23
D) $12.26
E) None of the options.

Consider a One-Year Maturity Call Option and a One-Year Put