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You have purchased a put option on Pfizer common stock. The option has an exercise price of $48 and Pfizer's stock currently trades at $50.
You have purchased a put option on Pfizer common stock. The option has an exercise price of $48 and Pfizer's stock currently trades at $50. The option premium is $0.90 per contract. What is your net profit on the option if Pfizer's stock price does not change over the life of the option? (Negative amount should be indicated by a minus sign. Round your answer to 2 decimal places, (e.g., 32.16)) Net profit $ per share What is your net profit on the option if Pfizer's stock price falls to $45 and you exercise the option? (Negative amount should be indicated by a minus sign. Round your answer to 2 decimal places, (e.g., 32.16)) Net profit $ per share
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