A Put Option That Expires in Eight Months with an Exercise

Multiple Choice

A put option that expires in eight months with an exercise price of $55 sells for $7.34. The stock is currently priced at $52, and the risk-free rate is 3.1 percent per year, compounded continuously. What is the price of a call option with the same exercise price and expiration date?

A) $5.67
B) $5.47
C) $5.34
D) $4.71
E) $4.92