You are planning to buy 100 shares of Apple Inc. You are not sure, however, whether or not to combine this investment with buying a put option on 100 shares of Apple. Moreover, if you would decide to buy a put option as well, which option should you choose? An option with a strike price of $110 or one with a strike price of $120?

Discuss the pros and cons of combining the investment in shares with a put option. Also discuss the implications of choosing a strike price of $110, rather than $120.