Calculate your percentage return on the put option for the, Financial Management

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Calculate your percentage return on the put option for the

Suppose you have $42,000 to invest. You’re considering Miller-Moore Equine Enterprises (MMEE), which is currently selling for $50 per share. You notice that a put option with a $50 strike is available with a premium of $2.4. Calculate your percentage return on the put option for the six-month holding period if the stock price declines to $46 per share.

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