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elf_fu elf_fu
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Posts: 705
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6 years ago
Assume that a $50 strike put pays a 2.0% continuous dividend, r = 0.07, σ = 0.25, and the stock price is $48.00. What is the profit or loss, per share, for a short put position if the option expires in 60 days and the price rises to $50.00 after 5 days?
A) $1.05 loss
B) $1.05 gain
C) $1.12 gain
D) $1.12 loss
Textbook 
Derivatives Markets

Derivatives Markets


Edition: 3rd
Author:
Read 609 times
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phuongha2892phuongha2892
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#1
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6 years ago
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elf_fu Author
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#2
6 years ago
Thank you phuongha2892
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#3
3 years ago
Thank you
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#4
2 years ago
Thank u
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