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A put option on dr. pepper snapple group, inc., has an exercise price of $45. the current stock price is $41. the put option is in the money
Put Option
It is an Instrument that gives the right to sell a share, obligation, commodity or currency, at a predetermined exercise price, before a certain date. A put option only has value if the market price when it is exercised is less than its exercise price.
The buyer acquires the right but not the obligation to sell the underlying asset at a certain price, in a period of time not exceeding a stipulated date. The seller of the put option assumes the obligation to buy the underlying asset, if the option is exercised.
For more about put option here https://brainly.com/question/17135327
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