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A call option on a share of RF Corp. has a strike price of $45 and is trading for $3.50, while a put option with
A call option on a share of RF Corp. has a strike price of $45 and is trading for $3.50, while a put option with the same strike price is trading for $2.50. You purchased 10 call options and sold 5 put options. If the stock price of RF at maturity is $50, what is your total profit? (An option contract is for 100 shares.)
A) $1500 B) -1250 C) 2750 D) -1500
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