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You Recently Purchased Three Put Option Contracts on Guillepsi Stock

Question 17

Multiple Choice

You recently purchased three put option contracts on Guillepsi stock with an exercise price of $42.50.What is the total intrinsic value of these contracts if the stock is currently selling for $45 a share?


A) -$360
B) -$120
C) $0
D) $120
E) $360

Correct Answer:

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