Several Rumors Concerning Wyslow,Inc

question 8

Multiple Choice

Several rumors concerning Wyslow,Inc. stock have started circulating. These rumors are causing the market price of the stock to be quite volatile. Given this situation,you decide to buy both a one-month put and a one month call option on this stock with an exercise price of $15. You purchased the call at a quoted price of $.40 and the put at a price of $2.30. What will be your total profit or loss on these option positions if the stock price is $4 on the day the options expire?

• A) $190
• B) $230
• C) $830
• D) $910
• E) $1,500

---

Definitions:

Exploration

The act of investigating or traveling through new areas to learn about them or discover resources.

Exploitation

The action or fact of treating someone unfairly in order to benefit from their work or resources.

Vicarious Retribution

A form of punishment inflicted on a perceived member of the wrongdoer's group instead of the wrongdoer themselves, often in response to a perceived injustice.

Rival Group

A group that competes against or is in opposition to another group, often driving conflicts, competitions, or striving for superiority.