Explanation

An asset-or-nothing put option pays the holder the current asset price if the underlying asset price is below the strike price at expiration. It does not pay the difference between strike and asset price like a standard put option.

Given:

• Number of shares: 5,000
• Strike price: USD 49
• Stock price at expiration: USD 45
• Since 45 < 49, the option is in-the-money

Calculation:

• Payoff = Current asset price × Number of shares
• Payoff = USD 45 × 5,000 = USD 225,000

Why other options are incorrect:

• A (USD 20,000): This would be the payoff from a standard put option: (49 - 45) × 5,000 = 4 × 5,000 = 20,000
• B (USD 35,000): This appears to be (52 - 45) × 5,000 = 7 × 5,000 = 35,000, which incorrectly uses the initial stock price instead of the strike price
• D (USD 245,000): This is simply strike price × shares: 49 × 5,000 = 245,000, which is not how asset-or-nothing options work

The key distinction is that asset-or-nothing options pay the current asset value when in-the-money, not the difference between strike and asset price.