This topic contains a solution. Click here to go to the answer

Author Question: Jamie wrote a nine-month put on Beta stock. The strike price was $25 and the market price of Beta ... (Read 50 times)

krabuske

  • Full Member
  • ***
  • Posts: 136

Question 1

In late November, Karen bought FIB February puts with a strike price of $25.  The ask price of the put was $281.  The current price of FIB shares is $28.40.  The intrinsic value of the put is
◦ $340.
◦ $(340).
◦ $(621).
◦ $0.00.

Question 2

Jamie wrote a nine-month put on Beta stock. The strike price was $25 and the market price of Beta stock at the time the option was written was $24. The total price of the option contract was $150. At what market price will Jamie just break-even on this investment? Ignore transaction costs and taxes.
◦ $23.50
◦ $24.00
◦ $25.00
◦ $26.50


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by krabuske on Mar 29, 2022

hillard sane

  • Full Member
  • ***
  • Posts: 164
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 30% of students answer this correctly




krabuske

  • Member
  • Posts: 136
Reply 2 on: Mar 29, 2022
Wow, this really help


sultana.d

  • Member
  • Posts: 320
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

Did you know?

More than 20 million Americans cite use of marijuana within the past 30 days, according to the National Survey on Drug Use and Health (NSDUH). More than 8 million admit to using it almost every day.

Did you know?

About 3% of all pregnant women will give birth to twins, which is an increase in rate of nearly 60% since the early 1980s.

Did you know?

The top five reasons that children stay home from school are as follows: colds, stomach flu (gastroenteritis), ear infection (otitis media), pink eye (conjunctivitis), and sore throat.

Did you know?

A serious new warning has been established for pregnant women against taking ACE inhibitors during pregnancy. In the study, the risk of major birth defects in children whose mothers took ACE inhibitors during the first trimester was nearly three times higher than in children whose mothers didn't take ACE inhibitors. Physicians can prescribe alternative medications for pregnant women who have symptoms of high blood pressure.

Did you know?

Walt Disney helped combat malaria by making an animated film in 1943 called The Winged Scourge. This short film starred the seven dwarfs and taught children that mosquitos transmit malaria, which is a very bad disease. It advocated the killing of mosquitos to stop the disease.

For a complete list of videos, visit our video library