A 6-Month Put Option on Makler Corp

question 25

Multiple Choice

A 6-month put option on Makler Corp.'s stock has a strike price of $45 and sells in the market for $8.90.Makler's current stock price is $41.What is the exercise value of the option?

• A)$2.62
• B)$2.92
• C)$3.24
• D)$3.60
• E)$4.00

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Definitions:

Levittown

Low-cost, mass-produced developments of suburban tract housing built by William Levitt after World War II on Long Island and elsewhere.

Four Freedoms

Freedom of speech, freedom of worship, freedom from want, and freedom from fear, as described by President Franklin D. Roosevelt during his January 6, 1941, State of the Union address.

Franklin Roosevelt

The 32nd President of the United States (1933-1945), known for leading the country during the Great Depression and World War II.

Cold War

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