A put option with a strike price of $20 is expiring today. The stock is currently selling at $25. Based on this information, the put option should not be exercised.

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A put option gives the holder the right to sell a stock at a specified price (strike price). If the stock's current market price is higher than the strike price, as in this case ($25 vs. $20), exercising the option would mean selling the stock for less than its market value, which is not financially beneficial.

A Put Option with a Strike Price of $20 Is