Question: Consider a put option whose underlying asset is a stock index with 6 months to expiration and a strike price of $1000. (a) What is
Consider a put option whose underlying asset is a stock index with 6 months to expiration and a strike price of $1000. (a) What is the buyers payoff if the index price is $1100 in 6 months? (b) What is the buyers payoff if the index price is $900 in 6 months?
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