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If Cathy were to buy a put option to sell one unit of RHC at a premium of $8.10 with an exercise price of $50.00

If Cathy were to buy a put option to sell one unit of RHC at a premium of $8.10 with an exercise price of $50.00 and a current spot price of $53.50 If the spot price of RHC fell to $40 at the expiration date, then Cathy will: (Choose the most appropriate answer.) (2 Marks) a. Make an overall profit b. Cannot say c. Make an overall loss

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