FNC362 Fall 2016 Testa2 (October 26, 2016) Student Name: Hannalh 1. When a put option is exercised, the: Hausiein A. B. seler of the option receives the option premium C. buyer of the option sellis the undertying asset and receives the option premium D. buyer of the option pays the option premium and receives the underlying asset E. seller of the option must buy the underlying asset and pay the strike price. purchased four call option contracts with a strike price of $25.00 and a premium of $1.25. At expiration, the stock was selling for $26.80 a share. What is the total amount it cost you to acquire your shares? 2. You A $8,620 B. $9,060 C. $10,500 D. $11,860 E. $12,400