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One year ago, you wrote a put option with strike price $30 and one year to expiration. Option premium was $12. Ignore the interest rate.
One year ago, you wrote a put option with strike price $30 and one year to expiration. Option premium was $12. Ignore the interest rate. Today is the expiration day, and you still have an open short position in the put. The underlying stock is trading at $42. Your profit is
a. | $42 | |
b. | $18 | |
c. | $12 | |
d. | Zero. You just broke even. |
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