Question: You purchase one Facebook October $80 put contract for a premium of $5.72. What is your maximum possible profit? (See Figure 15.1.) FIGURE 15.1 Options

You purchase one Facebook October $80 put contract for a premium of $5.72. What is your maximum possible profit? (See Figure 15.1.)
FIGURE 15.1
Options on Facebook, October 16, 2014

Underlying stock price = $75.95 Facebook (FB) Expiration Strike Call Put Oct-14 75 3.95 3.01 Oct-14 80 1.65 5.72 Nov-14 75 4.85 3.97 Nov-14 80 2.64 6.74

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