OPTION BASICSEQUITY OPTIONSPUT-CALL PARITY WITH EQUITY OPTIONSIN-THE-MONEY, AT-THE-MONEY, AND OUT-OF-THE-MONEYTHEORETICAL OPTION VALUE AND OPTION RISK MEASURES (“THE GREEKS”)FOREIGN EXCHANGE OPTIONSPUT-CALL PARITY IN FOREIGN EXCHANGEPERSPECTIVE MATTERSFX OPTION PREMIUMVOLATILITYUSES AND STRATEGIESAPPENDIX: Theoretical Option ValuationTHE BINOMIAL MODELTHE BLACK-SCHOLES/GARMAN-KOHLHAGEN MODELTHE GARMAN-KOHLHAGEN OPTION RISK MEASURES OR “GREEKS”