Suppose You Bought 10 Smith Enterprise Put Options with a Strike

question 71

Multiple Choice

Suppose you bought 10 Smith Enterprise put options with a strike price of $52 at $2.75 per option.If the price of Smith stock is $56,what is your net profit (or loss) ? Ignore transaction costs.

• A) $40
• B) $0
• C) -$27.50
• D) $12.50

---

Definitions:

Loudest Person

Typically refers to the individual in a group who speaks with the highest volume, often drawing the most attention.

Company Culture

The shared values, beliefs, behaviors, and practices that characterize an organization and its employees.

Ground Rules

Basic guidelines or agreed-upon rules that dictate the behavior or operations within a particular context or group activity.

Longer Breaks

Extended periods of rest or downtime, longer than the usual or scheduled pauses during work or activities.