Capstone Papers-Pricing

Capstone Papers-Pricing

Navigate to the Yahoo! Finance Options Center at https://finance.yahoo.com/options/. Next, in the search box at the top of the page, enter a publicly traded company (note, avoid penny stocks and thinly traded companies; instead, search for large publicly traded companies to ensure you find sufficient options for it).

Click on the Options tab in the center of the page to review your company’s calls and puts. Select one in-the-money call or put and one out-of-the-money call or put. Indicate in your response the company you selected, the current stock price, the strike price for each of the two options, and which is in and which is out of the money.

Briefly explain why the prices of the call and put of your selected stock are related.

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