Answer: $2

**Explanation:** The profit for the buyer of a put option is calculated as the difference between the put's value at expiration and the premium paid. The put's value at expiration is given by: \[ P_t = \max(0, X - S_t) \] where: - \( P_t \) is the value of the put at expiration, - \( X \) is the exercise price, - \( S_t \) is the price of the underlying asset at expiration. For this question: - \( X = 45 \) (exercise price), - \( S_t = 41 \) (underlying price at expiration). Thus, the put's value at expiration is: \[ P_t = \max(0, 45 - 41) = \$4 \] The buyer's profit is then: \[ \text{Profit} = P_t - P_0 = 4 - 2 = \$2 \] where \( P_0 = \$2 \) is the premium paid for the put option. **Why not A or C?** - **A** ($-2) represents the seller's profit, not the buyer's. - **C** ($4) is the put's value at expiration, not the profit.

Author: LeetQuiz Editorial Team