Question
Ignoring time value of money, what is your break-even point (such exchange rate that will result in zero profit) if you sold a put option
Ignoring time value of money, what is your break-even point (such exchange rate that will result in zero profit) if you sold a put option on 1 with a strike price of 1.8$/ for $0.1 and, at the same time, bought a call option on 1 with a strike price of 1.7$/ for $0.12?
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Foundations of Finance The Logic and Practice of Financial Management
Authors: Arthur J. Keown, John D. Martin, J. William Petty
8th edition
132994879, 978-0132994873
