Steve sold a put option when the option premium was $1.20. What is Steve's total profit...
Steve sold a put option when the option premium was $1.20. What is Steve's total profit if the exercise price was $15 and the option was never exercised?
Homework Answers
Given that,
Steve sold a put option when the option premium was $1.20
So Steve received $1.20 for selling the option.
If the option was never exercised, i.e. option is out of the money, total profit equals to the amount he received for selling the option.
So, Steve's total profit is $1.20
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Steve sold a put option when the option premium was
$1.20. What is Steve's total profit...
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