Series 7 - General Securities Representative Exam

Training Mode

Unit 1 Unit 2 Unit 3 Unit 4

A speculative trader shorts 100 shares of JKL stock at 50 and simultaneously writes 1 JKL 50 put at 2.50. What is the trader's maximum gain?

$2.50 per share

A

$47.50 per share

B

$52.50 per share

C

Unlimited

D