« previous next »

Author Question: When is an option out-the-money? (Read 38 times)

saliriagwu

  • Hero Member
  • *****
  • Posts: 537
on: Jul 9, 2019
When is an option out-the-money?
Fundamentals of Corporate Finance ¦ Berk, DeMarzo, Harford ¦ 2nd Edition
Buy Test-Bank


Jossy

  • Sr. Member
  • ****
  • Posts: 336
Reply #1 on: Jul 9, 2019
An option is out-the-money when it has a negative payoff if exercised right away.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

saliriagwu

  • Hero Member
  • *****
  • Posts: 537
Reply #2 on: Jul 9, 2019
Excellent


Jossy

  • Sr. Member
  • ****
  • Posts: 336
Reply #3 on: Jul 9, 2019
Great! Please up vote :D


« previous next »
 

Did you know?

Most childhood vaccines are 90–99% effective in preventing disease. Side effects are rarely serious.

Did you know?

A good example of polar molecules can be understood when trying to make a cake. If water and oil are required, they will not mix together. If you put them into a measuring cup, the oil will rise to the top while the water remains on the bottom.

Did you know?

Drug abusers experience the following scenario: The pleasure given by their drug (or drugs) of choice is so strong that it is difficult to eradicate even after years of staying away from the substances involved. Certain triggers may cause a drug abuser to relapse. Research shows that long-term drug abuse results in significant changes in brain function that persist long after an individual stops using drugs. It is most important to realize that the same is true of not just illegal substances but alcohol and tobacco as well.

Did you know?

The types of cancer that alpha interferons are used to treat include hairy cell leukemia, melanoma, follicular non-Hodgkin's lymphoma, and AIDS-related Kaposi's sarcoma.

Did you know?

The National Institutes of Health have supported research into acupuncture. This has shown that acupuncture significantly reduced pain associated with osteoarthritis of the knee, when used as a complement to conventional therapies.

Ripped Money Ripped Money
Cat Got Money Cat Got Money
In countries where water can be contaminated, breastfeeding is an important option for the health of ... In countries where water can be contaminated, breastfeeding is an important option for the health of ...
Masaccio, The Tribute Money. Masaccio, The Tribute Money.
Students and Money Students and Money
The Economics of Money, Banking and Financial Markets, Business School Edition The Economics of Money, Banking and Financial Markets, Business School Edition
Video: The Lac Operon in E. Coli

For a complete list of videos, visit our video library