The intrinsic value of a put is equal to the: a) lesser of the stock price...
The intrinsic value of a put is equal to the:
a) lesser of the stock price minus the exercise price or zero.
b) greater of the strike price minus the stock price or zero.
c) lesser of the stock price or zero.
d) lesser of the strike price or the stock price.
e) greater of the stock price minus the exercise price or zero.
Homework Answers
The correct Option is B.
greater of the strike price minus the stock price or zero
(Strike Price - Stock Price OR 0 ) _ _ _ _ whichever is higher
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