The current Nikkei index price is 21,200. Assume ? = 0.13, r = 0.05 and div = 0.015. If
K = 20,000 yen and yen per dollar spot rates are 103, what is the dollar value of a 2-year call?
A) $13.97
B) $18.97
C) $23.97
D) $28.97
D
Business