Jennifer Purchased 4 Put Option Contracts on Winslow Mfg

question 85

Multiple Choice

Jennifer purchased 4 put option contracts on Winslow Mfg.stock.The option premium was $0.25 and the strike price was $17.50.On the expiration date,the stock was selling for $17.75 a share.What is the total payoff on the option contracts?

• A)-$100
• B)-$50
• C)$0
• D)$50
• E)$150