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You purchased a put option on M common stock. The option has an exercise price of $56 and Ms stock currently trades at $58. The

You purchased a put option on M common stock. The option has an exercise price of $56 and Ms stock currently trades at $58. The option premium is $0.50per share. a. What is your net profit on the option if Ms stock price does not change over the life of the option? b. What is your net profit on the option if Ms stock price falls to $52 and you exercise the option?

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