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The price of a stock on February 1 is $118. A trader sells 200 European put options on the stock with a strike price of
The price of a stock on February 1 is $118. A trader sells 200 European put options on the stock with a strike price of $120 when the option price is $3. The stock price is $128 when the options mature. The trader's net profit or loss is: Loss of $1,000 Loss of $600 Gain of $1,000 Gain of $600
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