Business, 06.10.2021 22:30 mike2910

You are given the following information about ZZZ stock: The current price per share is 29.83. The current premium for calls and puts of various strikes with 3 months to expiration are as follows: Strike Price Calls Puts 28.00 2.85 1.12 30.00 1.72 1.99 32.00 0.95 3.25 Portfolio A is a butterfly spread which is constructed using one long 28.00 strike call, two short 30.00 strike calls, and one long 32.00 strike call. Portfolio B is a bear put spread which is constructed using one long put with a strike price of 32 and one short put with a strike price of 28. The continuously compounded risk-free interest rate is 10%. If the price of one share of ZZZ stock at the end of three months is X, then both portfolios have the same profit. Determine X.

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You are given the following information about ZZZ stock: The current price per share is 29.83. The c...

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