A stock currently sells for $15 per share.A put option on the stock with an exercise price $15 currently sells for $1.50.The put option is
A) At-the-money.
B) In-the-money.
C) Out-of-the-money.
D) At breakeven.
E) None of the above.

Question

Quizplus · Accepted Answer

A put option is at-the-money when the exercise price is equal to the current stock price, which is the case here with both being $15.

A Stock Currently Sells for $15 Per Share