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Q1.You purchased seven put option contracts with a strike price of S40 and an option premium of $1.25. You closed your contract on the expiration

Q1.You purchased seven put option contracts with a strike price of

S40 and an option premium of $1.25. You closed your contract

on the expiration date when the stock was selling for $41.50 a

share. What is your total profit or loss on your option position?

Q2.What is the difference between a cash and margin account? And what

is a Margin Call.

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