You purchased 5 put option contracts on Mountain Builders stock at an option premium of $0.70.The strike price is $30.What is your break-even stock price?
A) $19.90
B) $24.35
C) $25.00
D) $29.30
E) $30.70

Name: You purchased 5 put option contracts on Mountain Builders stock at an option premium of $0.70.The strike price is $30.What is your break-even stock price? A) $19.90 B) $24.35 C) $25.00 D) $29.30 E) $30.70
Brand: Quizplus
Rating: 4.8 (40 reviews)

Question

Quizplus · Accepted Answer

Break-even stock price = $30 - $0.70 = $29.30

You Purchased 5 Put Option Contracts on Mountain Builders Stock