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Basic Question 6 of 9

Which positions should be taken to create a short synthetic position in a European put option for a stock per put-call parity equation?

A. Long call, long stock, short bond.
B. Short call, long stock, short bond.
C. Long call, short stock, long bond.

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I am happy to say that I passed! Your study notes certainly helped prepare me for what was the most difficult exam I had ever taken.
Andrea Schildbach

Andrea Schildbach

Learning Outcome Statements

explain put-call parity for European options

CFA® 2024 Level I Curriculum, Volume 5, Module 9.