Bob's DJIA Index option had a strike price of 98.When he exercised the option, the Dow was at 10,050.
A) Bob received $2,050 from the writer of the contract.
B) Bob paid $250 to the writer of the contract.
C) Bob received $250 from the writer of the contract.
D) Bob received $700 from the writer of the contract.
Correct Answer:
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