What Is the Put Option Premium Given the Following Information

question 42

Multiple Choice

What is the put option premium given the following information?

• A) $7.49
• B) $7.98
• C) $8.28
• D) $8.76
• E) $9.64

---

Definitions:

Settlement of Liabilities

The process of discharging obligations by transferring assets, providing services, or other means, effectively resolving the liabilities.

Disposal of Assets

The sale, retirement, or abandonment of a physical or intangible asset that is part of a company's operations.

AASB 8

An Australian Accounting Standards Board regulation setting out the requirements for the disclosure of operating segments, products and services, geographical areas, and major customers in financial reports.

IFRS 8

An International Financial Reporting Standard that requires particular types of entities (chiefly those with publicly traded securities) to disclose information about their operating segments.