They quote Proverbs 26:4. It just confirms what I above said: "Don’t believe the foolish arguments of fools, or you will become as foolish as they are." Amen!
Imperator... they are all conspiring against you!! Brokers, forums, professional traders... How dare they! Whilst you are trying to expose the wrong and the corruption of the financial world, the elite is acting in herd to ridicule your important discoveries. Damn dark forces...
The formula for such a CashSecuredPut (aka CashCoveredPut) at other brokerage firms, for example TradeStation, is this: (StrikePrice x Multiplier x Contracts) - PremiumProceeds The formula at TDA seems now to be this: (StrikePrice x Multiplier x Contracts) And none of the usual dumbos here grasps the difference, as the evil is in the detail... but which makes a big difference...
Jesus said, “Father, forgive them, for they don’t know what they are doing.” And the soldiers gambled for his clothes by throwing dice.
Cash Secured Put Buying power requirement for selling a put in a cash or IRA account SELLING AN OUTRIGHT PUT REQUIRES THE TOTAL CASH-SECURED AMOUNT The buying power requirement for a cash-secured put is the (strike price) × (number of contracts) × (option multiplier). The premium received from the sale of the put can be applied to the initial requirement. However, if you are selling a put in a margin account, then the buying power requirement is different. To learn more about selling an uncovered/naked put in a margin account, please click here. EXAMPLE OF SELLING A CASH-SECURED PUT Sell to open 6 Mar 11 puts at $0.75 = $0.75 x 6 qty x 100 = $450 credit received 6 x 11 x 100 = $6,600 cash-secured amount $6,600 - $450 = $6,150 buying power requirement Disclosure: This is from Tasty Trade which is not my broker. It seems that earth_imperator is correct. Note we are talking about a cash account, not a margin account.
It seems to me you really want to understand the why of this issue. Why not get on the phone with your broker and keep going through their support peeps until you get someone who can answer the question to your satisfaction? Put a nail in it once and for all.
That would make way too much sense. Much easier to get on the forum and bitch to random strangers (that you have no business with) about how you know everything and the world is conspiring to get you.