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You bought a put option with strike price of $45 for premium of $3.75. The current stock price is $48. The option matures in
You bought a put option with strike price of $45 for premium of $3.75. The current stock price is $48. The option matures in 6 months. What is the option's time premium? What is the break-even price for the option? If you close out your position at $42.3, how much money did you make/loss per contract?
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Derivative Pricing
Authors: Ambrose Lo
1st Edition
0367734214, 978-0367734213
