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Soybean put premium is intrinsic value

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Assume that November CBT soybean futures are trading at $6.50 per bushel and that a $6.75 November CBT soybean put is trading at $0.50 per bushel. How much of the &6.75 November soybean put premium is intrinsic value? How much of the $6.75 November soybean put premium is time value?

Reference no: EM13976387

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