Author Question: When is an option out-the-money? (Read 67 times)


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



 

Did you know?

There used to be a metric calendar, as well as metric clocks. The metric calendar, or "French Republican Calendar" divided the year into 12 months, but each month was divided into three 10-day weeks. Each day had 10 decimal hours. Each hour had 100 decimal minutes. Due to lack of popularity, the metric clocks and calendars were ended in 1795, three years after they had been first marketed.

Did you know?

When intravenous medications are involved in adverse drug events, their harmful effects may occur more rapidly, and be more severe than errors with oral medications. This is due to the direct administration into the bloodstream.

Did you know?

Allergies play a major part in the health of children. The most prevalent childhood allergies are milk, egg, soy, wheat, peanuts, tree nuts, and seafood.

Did you know?

About 600,000 particles of skin are shed every hour by each human. If you live to age 70 years, you have shed 105 pounds of dead skin.

Did you know?

The term pharmacology is derived from the Greek words pharmakon("claim, medicine, poison, or remedy") and logos ("study").

For a complete list of videos, visit our video library