FIN 567 Competitive Success/snaptutorial.com

1
FIN 567 Competitive Success/snaptutorial.com
2
FIN 567 Competitive Success/snaptutorial.com
FIN 565 Week 7 Course Project For more classes
visit www.snaptutorial.com FIN 565 Week 7 Course
Project
3
FIN 567 Competitive Success/snaptutorial.com
FIN 567 Final Exam For more classes
visit www.snaptutorial.com Question 1.     
Question         (TCO E) A stock sells for 60
and the risk-free rate of interest is 10. A call
and a put on this stock expire in one year and
both options have an exercise price of 55. How
would you trade to create a synthetic call
option? If the put sells for 2, how much is the
call option worth? (Assume annual compounding.)  
4
FIN 567 Competitive Success/snaptutorial.com
FIN 567 Midterm For more classes
visit www.snaptutorial.com Question 1.     
Question         (TCO A) An order that closes an
existing position is called a(n)
______.   Question 2.      Question         (TCO
A) Which of the following is not a characteristic
of a short call position?
5
FIN 567 Competitive Success/snaptutorial.com