Finance Suppose you bought a put option with a strike price of $21 for $4. What would be your payoff from this option if the underlying stock is worth $12 at option expiration?

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter5: Financial Options
Section: Chapter Questions
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A4) Finance Suppose you bought a put option with a strike price of $21 for $4. What would be your payoff from this option if the underlying stock is worth $12 at option expiration?
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