Consider a short position on a European Put option on 1 share of META at a strike

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Consider a short position on a European Put option on 1 share of META at a strike Price of $118.0. The option premium is $5.55 per share.

Create the profit/loss diagram of this position. If possible, mark the break-even price, maximum profit, and minimum profits, and prices at what is the maximum and minimum are reached.

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Derivative Pricing

ISBN: 9780367734213

1st Edition

Authors: Ambrose Lo

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Posted Date: Apr 09, 2024 01:43 PM

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Consider a short position on a European Put option on 1 share of META at a strike

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Derivative Pricing

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