Question: Problem 1 5 - 2 Put Option Payoffs ( LO 2 , CFA 2 ) Suppose you purchase 1 1 put contracts on Testaburger Company.

Problem 15-2 Put Option Payoffs (LO2, CFA2)
Suppose you purchase 11 put contracts on Testaburger Company. The strike price is $45 and the premium is $2.90. If, at expiration, the
stock is selling for $40 per share, what are your put options worth? What is your net profit?
Value of put options
Net profit

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