On December 7, 2020 you have $25,000 in cash sitting in your brokerage account. Later that day, you buy 100 shares of Boeing for a price of $230 per share (total cost $23,000). You use the remaining $2,000 in your account to buy one protective put option contract on Boeing with a strike price of $210, expiring in May 2021, for a premium of $20 per share (the put contract cost you a total of $2,000). At the option expiration, you will close all positions and hold only cash. (Assume no transaction costs such as trading fees or bid-ask spread)

15. Suppose the stock price at option expiration equals $215. How much would you have in cash

at the option expiration?

A) $2,000 B) $19,000 C) $19,500 D) $23,500 E) $26,500