Suppose you buy 40 March 100 put option contracts. What is your maximum gain? On the expiration date, Hendreeks is selling for $84.90 per share. (Please round your answer to 2 decimal places.)

1. What is the cost of contracts? (1pt)
2. How much is the payoff per share? (1pt)
3. What is the terminal value of your investment? (2pt)
4. What is your net gain? (3pt)
5. What is the maximum gain you can get from your investment? (3pt)

PLEASE SHOW WORK

Calls Vol. Last Strike Price Expiration Puts Vol. Last Close Hendreeks 103 103 103 103 100 100 100 100 Feb Mar Apr Jul 72 41 16 8 5.20 8.40 10.68 14.30 50 29 10 2 2.40 4.90 6.60 10.10