per share, less the cost of the option. If you paid per share, less the cost of the option. If you paid $$1\mathrm{.}00$ per put option, then your profit would be $$1\mathrm{.}50-$$$1\mathrm{.}00=$$$0\mathrm{.}50$ per share.

$($b$)$ Discuss the value of the portfolio with and without the European put options.

The lower the stock price, the $---$ Select$--$ beneficial the put options. The options are worth nothing at a stock price of $

or $---$ Select$--.$ There is a benefit from the put options to the value of the portfolio for stock prices $

or $---$ Select$--.$