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Kaleid

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Kaleid

Re: rwk post# 216713

Thursday, 10/20/2011 8:35:22 PM

Thursday, October 20, 2011 8:35:22 PM

Post# of 252320
Premium...
this is the way I understood it.

premium....
The amount per share that an option buyer pays to the seller. The option premium is primarily affected by the difference between the stock price and the strike price, the time remaining for the option to be exercised, and the volatility of the underlying stock.

Read more: http://www.investorwords.com/3487/option_premium.html#ixzz1bN7Z8KgD
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