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Paul sells a put option on HRTB stock with a time to expiration of six months, a strike price of USD 125, and underlying asset price of USD 98, implied volatility of 20% and a risk-free rate of 4%. What is Paul's counterparty credit exposure from this transaction?
A
USD 0.00
B
USD 0.38
C
USD 1.75
D
USD 24.90