Question
You are short a $75 put on 100 shares of Merck with a premium of $1.03/share. When the option expires Merck is trading at $70.27.
You are short a $75 put on 100 shares of Merck with a premium of $1.03/share. When the option expires Merck is trading at $70.27.
The premium (paid) collected on this option is $
The intrinsic value of this option is $
The profit (loss) on this option is $
The breakeven price on this option is $
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Entrepreneurial Finance
Authors: J. Chris Leach, Ronald W. Melicher
6th edition
1305968352, 978-1337635653, 978-1305968356
