Present value of portfolio is Rs 500 and current option price is Rs 1200 then value of stock included in portfolio will be
A. Rs 1,700.00
B. -Rs 1,700.00
C. Rs 700.00
D. -Rs 700.00
Answer: Option A
Solution (By Examveda Team)
Value of stock included in portfolio = Current option price + Present value of portfolio= Rs. 1200 + Rs. 500 = Rs. 1700.

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