An in-the-money put option is one that:
A)has an exercise price greater than the underlying stock price.
B)has an exercise price less than the underlying stock price.
C)expires today.
D)should not be exercised at expiration.
E)should not be exercised at any time.

Question

Quizplus · Accepted Answer

An in-the-money put option is one where the exercise price (strike price) is greater than the underlying stock price, meaning the holder can sell the stock at a higher price than its current market value.

An In-The-Money Put Option Is One That