Suppose you are a emotionally motivated investor (as opposed to a economically rational investor).Suppose you...
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Suppose you are a emotionally motivated investor (as opposed to a economically rational investor).Suppose you believe that Apple's stock price is going to decline from its current level of $ 83.66 sometime during the next 2 months. For $ 396.13 (Initial premium) you could buy a 2-month put option giving you the right to sell 100 shares at a price of $ 79 per share. If you bought a 100-share contract for $ 396.13 and Apple's stock price actually changed to $ 85.21 , your net profit (or loss)after exercisingthe optionwould be ______?
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