A put option based on Sigma Cos share has a premium of 86c and its strike (exercise) price is 460c.

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answerhappygod
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A put option based on Sigma Cos share has a premium of 86c and its strike (exercise) price is 460c.

Post by answerhappygod »

Sigmas underlying share is currently quoted at 422c.
What does the premium consist of?
A. Both intrinsic value and time value
B. Only intrinsic value
C. Only time value
D. Neither intrinsic nor time value
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