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Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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URGENT IN 20 MINUTES MAX
PLEASE!
DO NOT write an explanation, only
a,b,c or d whichever option is correct.
ONLY CORRECT OPTION, and I'll give
a high rating.
You are expecting a profit warning
from Exxon Mobil and you decide to
buy a put option contract (100 shares
per contract) with a strike price of
$106 for a premium of $2. What will
your maximum profit be from this
strategy?
$10,800
$10,400
$106
$10,600
Transcribed Image Text:URGENT IN 20 MINUTES MAX PLEASE! DO NOT write an explanation, only a,b,c or d whichever option is correct. ONLY CORRECT OPTION, and I'll give a high rating. You are expecting a profit warning from Exxon Mobil and you decide to buy a put option contract (100 shares per contract) with a strike price of $106 for a premium of $2. What will your maximum profit be from this strategy? $10,800 $10,400 $106 $10,600
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