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    Exam 20: Financial Options
  5. Question
    The Payoff to the Holder of a Put Option Is
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The Payoff to the Holder of a Put Option Is

Question 38

Question 38

Multiple Choice

The payoff to the holder of a put option is given by:


A) P = max(K - S,0) .
B) P= max(S - K,0) .
C) P = min(S - K,0) .
D) P = max(K,0) .

Correct Answer:

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