Discuss how the terms of the option will change if it


What happens to an option's value when the company pays stock dividends? Consider a put option to sell 100 shares of a company for $45 per share. What happens to the put option ifthe company declares a 20% stock dividend? Discuss how the terms of the option will change, if it changes. If not, discuss how it affects the value of the option.

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Discuss how the terms of the option will change if it
Reference No:- TGS02854699

Expected delivery within 24 Hours