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An index currently stands at 736 and has a volatility of 27% per annum. The risk-free...

An index currently stands at 736 and has a volatility of 27% per annum. The risk-free rate of interest is 5.25% per annum and the index provides a dividend yield of 3.65% per annum. Calculate the value of a five-month European put with an exercise price of 730.

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SEE THE IMAGE. ANY DOUBTS, FEEL FREE TO ASK. THUMBS UP PLEASE

JUST WRITTEN IN EXCEL. NO EXCEL FUNCTION IS USED.

jeff jeffy answered 2 years ago
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