Question: Use the option quote information shown here to answer the questions that follow. The stock is currently selling for $83. StrikePuts Option Expiration Strike Price
Use the option quote information shown here to answer the questions that follow. The stock is currently selling for $83.
StrikePuts
Option Expiration Strike Price Vol.(Puts) Last(Put)
RWJ Mar 80 230 1.10
Apr 82 170 2.25
Jul 86 139 2.50
a. Which options are in-the-money options? What are their intrinsic values?
b. Which options are out-of-money options? What are their intrinsic values?
c. Which option is mispriced?
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