Gerold Purchased 3 Put Option Contracts at an Option Premium

question 20

Multiple Choice

Gerold purchased 3 put option contracts at an option premium of $.95 and a strike price of $40. At expiration, the stock price was $42.25 per share. What is his percentage return?

• A)−100.00%
• B)0%
• C)15.79%
• D)21.62%
• E)31.58%

---

Definitions:

Circulatory Function

The role or process of circulating blood and lymph through the body, facilitated by the heart and blood vessels, to transport nutrients and remove waste.

Case Study Research

A research method involving an up-close, in-depth, and detailed examination of a subject of study and its related contextual conditions.

Descriptive Research

A type of research that aims to observe, describe, and document aspects of a situation as it naturally occurs.

Psychologists

Professionals in the field of psychology who study mental processes and behavior, and may provide counseling or therapy.