Three weeks ago,you purchased a July 45 put option on RPJ stock at an option price of $3.20.The market price of RPJ stock three weeks ago was $42.70.Today,RPJ stock is selling at $44.75 a share and the July 45 put is priced at $.80.What is the intrinsic value of your put contract?
A) $295
B) $210
C) $0
D) $25
E) $110
Correct Answer:
Verified
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