Consider an exchange-traded put option contract

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Consider an exchange-traded put option contract to sell 200 shares (1 contract) with a strike price of $156 and maturity in four months.

Explain how the terms of the option contract change when there is: (a) a 25% stock dividend, (b) a 15% cash dividend, and (c) a 2-for-1 stock split.

Reference no: EM131067132

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Consider an exchange-traded put option contract : Consider an exchange-traded put option contract to sell 200 shares (1 contract) with a strike price of $156 and maturity in four months. Explain how the terms of the option contract change when there is: (a) a 25% stock dividend, (b) a 15% cash divid..
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