The price of a stock on July 1 is $47.5. A trader enters a long European put opt...
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The price of a stock on July 1 is $47.5. A trader enters a long European put option on this stock with a strike price of $52.1.
The quoted option price is $5.6. One option contract covers 100 shares.
If the put option is exercised when the stock price is $45.2, what is the trader’s net profit is:
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