Question
An investor will most likely exercise a put option when
the price of the stock is:Solution
A put option gives the holder the right but not the obligation to sell the underlying asset at the strike price. Therefore a put option is exercised when the price of the stock is below the strike price. The owner of a put option has a benefit when the price of the underlying falls as the holder is able to sell it at a higher price through option as compared to the market price. Premium has nothing to do in case of exercising the option. This is taken into account while calculating the net profit.
T he battle of Plassey was fought between which of the following?
Under the Pradhan Mantri Awas Yojana-Urban (PMAY-U) 2.0, what is the total financial assistance allocated by the Government of India to support the cons...
What did Gandhiji meant by ‘Sarvodaya’?
Purvanchal Himalayas does NOT comprise of:Â
The term "relay" is related to ________
What is the common name of Peripleneta americana?
Sakewa is a religious festival celebrated by the Kirat Khambu Rai community of ________.
Which of the following does the work of separator between Africa and Asia?
Who among the following is appointed as 25th Director General of Indian Coast Guard?
Mangrove forests of West Bengal are also called: