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option gives the option holder the right to sell an asset at a fixed price during a particular period. The fixed price that the asset

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option gives the option holder the right to sell an asset at a fixed price during a particular period. The fixed price that the asset may be sold at is called the exercise price The following table shows the options quotation in Canadian dollars for Parrot Transport Corp. for June 30 of this year Call- Last Quote September $2.00 $3.00 $1.60 Put -Last Quote September $2.20 $1.20 $2.60 Option Closing Price Strike Price $44.50 $44.50 $44.50 $48.50 $42.50 $50.50 If you could exercise the options listed anytime on or before the expiration date (the third Friday of September), then these options would be options Assume that the options listed in the table are American options. Which of the put options for Parrot Transport Corp listed in the table are in-the-money on June 30? Option 1 and option 3 O Only option 2 All of the options None of the options

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