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ple Choices
(Choose 1 answer)
(24943) The spot price of the market index is $900. After 3 months the market index is priced at $915. The annual rate of interest on treasuries is 2.4% (0.2% per month). The premium on the long put, with an exercise price of $930, is $8.00. Calculate the profit or loss to the short put position if the final index price is $915.
A. $15.00 gain
B. $15.00 loss
C. $6.95 gain
D. $6.95 loss

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40