Suppose the option in the previous question is a put rather, Financial Management

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Suppose the option in the previous question is a put rather

1. Suppose the option in the previous question is a put rather than a call. All of the values stated are the same for the put option. What is your total profit or loss on the option investment?

2. You are interested in investing in the stock of a company whose current P/E ratio is 18. If the current price of the stock is $81 per share, what are the company’s earnings per share? If the company’s earnings per share are $3.25, what is the current price of the stock?

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