The document describes how an options deal works between a buyer and seller in the stock market. Ram buys a call option from Sam for a stock trading at Rs. 100, with a strike price of Rs. 120 expiring in 5 days. Ram pays Sam a Rs. 2 premium. If the stock price rises above Rs. 120, Ram profits, otherwise he only loses the Rs. 2 premium. Sam profits if the price falls or stays the same. The document then tracks the notional profits and losses for Ram and Sam over the 5 days. On the settlement date, if the price is above Rs. 120, Ram's account is credited his profits and Sam's is debited his losses. If the