Question
A stock with a current market price of $50 and a strike price of $45 has an associated put option priced at $3.50. This put
A stock with a current market price of $50 and a strike price of $45 has an associated put option priced at $3.50. This put has an intrinsic value of ______ and a time value of _____.
PLEASE SHOW ALL STEPS, THANK YOU!
A.) $5; $3.50
B.) $3.50; $5
C.) $3.50; $0
D.) $0; $3.50
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Financial Analysts Indispensable Pocket Guide
Authors: Ram Ramesh
1st Edition
0071361561, 978-0071361569
