The current spot rate for the MYR is $0.5883. The put premium on a call option with an exercise price of $0.5925 is $0.0242. What is the time value of one MYR 62,500 put option?
A) $1,775.00
B) $1,512.50
C) $1,250.00
D) $262.50

Name: The current spot rate for the MYR is $0.5883. The put premium on a call option with an exercise price of $0.5925 is $0.0242. What is the time value of one MYR 62,500 put option? A) $1,775.00 B) $1,512.50 C) $1,250.00 D) $262.50
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Question

Quizplus · Accepted Answer

(.0242 - (.5925 - .5883)) × 62,500 = 1,250

The Current Spot Rate for the MYR Is $0