Question
The price of a stock on October 1st is $48. A trader sells a put option contract (comprised of 200 shares) with a strike price
The price of a stock on October 1st is $48. A trader sells a put option contract (comprised of 200 shares) with a strike price of $40 when the option premium is $2/share. The put option is exercised when the stock price is $39. What is the traders net profit or loss?
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Fundamentals Of Financial Management
Authors: Eugene F. Brigham, Joel F. Houston
Concise 10th Edition
1337902578, 978-1337902571
