- CFA Exams
- CFA Level I Exam
- Study Session 16. Derivatives
- Reading 49. Basics of Derivative Pricing and Valuation
- Subject 10. Put-Call-Forward Parity
CFA Practice Question
The equation for put-call-forward parity is ______.
B. c0 = p0 + [X - F(0, T)]/(1 + r)T
C. p0 = c0 + [F(0, T) - X]/(1 + r)T
D. c0 = p0 - [F(0, T) - X]/(1 + r)T
A. p0 = c0 + [X - F(0, T)]/(1 + r)T
B. c0 = p0 + [X - F(0, T)]/(1 + r)T
C. p0 = c0 + [F(0, T) - X]/(1 + r)T
D. c0 = p0 - [F(0, T) - X]/(1 + r)T
Correct Answer: A
User Contributed Comments 0
You need to log in first to add your comment.