Put option has an exercise price

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A put option has an exercise price of $1.36/€ and a premium of $.015/€. A call option has an exercise price of $1.36/€ and a premium of $.035/€. Indvidual option contracts are for €25,000. You sell 3 puts and sell 1 call. Your profit/loss if ST = $1.25/€ is $_________ and your profit/loss if ST= $1.45/€ is $______.

A) $1,750 loss; $1,750 profit

B ) $3,750 profit; $1,500 loss

C) $6,250 loss; $250 loss

D) None of the above or below

E) $3,750 loss; $1,500 profit

Reference no: EM131543683

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