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Author Question: It is December 16th, and the table above shows prices of put options on shares of Dunder-Mifflin ... (Read 210 times)

brutforce

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It is December 16th, and the table above shows prices of put options on shares of Dunder-Mifflin Paper. Last month you bought a March put with a strike price of $21.00. You paid a premium of $0.5 per share. Shares of Dunder-Mifflin are currently trading for $18.50. Because of bad news announced yesterday, you think that today is the lowest level that the stock will reach before the option expires in March. As a result, you want to close your position and take your profit. What is the profit of your long put position? (Calculate your profit for a whole contract on 100 shares.)
◦ $200
◦ $250
◦ $300
◦ $350


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Marked as best answer by brutforce on Apr 25, 2021

joewallace

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brutforce

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Reply 2 on: Apr 25, 2021
Great answer, keep it coming :)


xoxo123

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Reply 3 on: Yesterday
:D TYSM

 

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