Ahmad bought put options on Verizon with a striking price of $50.The option premium was $2.64.Just before the contract expired,Verizon stock was at 51.39 per share.Ahmad

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When Ahmad bought put options, he had the right to sell Verizon shares at $50, which was the striking price. As the stock price was at $51.39 just before the contract expired, he would not exercise the option because he could sell the shares at a higher price in the market. Therefore, he would lose the option premium of $2.64 per share, which is the amount he paid for buying the put option. Hence, option B is the correct answer.

Ahmad Bought Put Options on Verizon with a Striking Price