The Price of a Stock on February 1 Is $84

question 4

Multiple Choice

The price of a stock on February 1 is $84.A trader buys 200 put options on the stock with a strike price of $90 when the option price is $10.The options are exercised when the stock price is $85.The trader's net profit or loss is

• A) Loss of $1,000
• B) Loss of $2,000
• C) Gain of $200
• D) Gain of $1000

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Definitions:

Parasympathetic Nervous System

Part of the autonomic nervous system responsible for conserving energy, slowing the heart rate, and facilitating digestion and relaxation.

Epinephrine

A hormone and neurotransmitter also known as adrenaline; involved in the body's fight-or-flight response.

Norepinephrine

A neurotransmitter and hormone involved in the body's fight or flight response, affecting heart rate, blood pressure, and glucose metabolism.

Polygraph

An instrument that measures multiple physiological responses, such as blood pressure, pulse, and respiration, used to infer truths or falsehoods in a person's statements.