You Own Five Put Option Contracts on XYZ Stock with an Exercise

question 15

Multiple Choice

You own five put option contracts on XYZ stock with an exercise price of $25. What is the total intrinsic value of these contracts if XYZ stock is currently selling for $24.50 a share?

• A) -$250
• B) -$50
• C) $0
• D) $50
• E) $250

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Definitions:

Preventative Models

Strategies or frameworks designed to avert problems or diseases before they occur, emphasizing proactive health management.

Acute Care

Acute care involves short-term medical treatment, typically in a hospital setting, for patients experiencing severe, often sudden health problems or injuries.

Expensive Healthcare

The high cost associated with medical services and treatments, often leading to financial strain for individuals and healthcare systems.

Surgi-Centers

Ambulatory surgery centers that provide outpatient surgical services.