Answer:
The put payoff = $1,072 - $1,050 = $22 per share
Explanation:
The put payoff is simply the difference between the spot price and the exercise price.
To determine the real profit obtained in this transaction we would need to know the investor's return rate. One of the basic pillars in finance it that $1 today is worth more than $1 tomorrow. We need a return rate to adjust the premium paid, for example if the return rate = 6%, then the premium would have been $9.30 x (1 + 6%/12)² = $9.30 x 1.005² = $9.39
profit = number of shares x (put payoff - adjusted premium)
please elaborate i dont understande what your asking.
Small businesses are actually the major engine of the economy, especially
now that much of our manufacturing jobs have moved overseas, so they
play a crucial role in employment.
Answer:
yesss but i graduated in 2017