Put-call parity allows a discussion of option pricing relationships without actually pricing an option.Have the class list all the possible pricing relationships they can recall.Add to the list until reasonably complete.Follow up this exercise by listing puts and calls,while asking students to state if certain premiums are possible.

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The Answer of Put-call parity allows a discussion of option pricing relationships without actually pricing an option.Have the class list all the possible pricing relationships they can recall.Add to the list until reasonably complete.Follow up this exercise by listing puts and calls,while asking students to state if certain premiums are possible.

Put-Call Parity Allows a Discussion of Option Pricing Relationships Without