WHAT DOES PNL MEAN?

That isn't similar to the pnl equalling the cost paid out, as an alternative the predicted pnl of your tactic would be similar to the choice price. $endgroup$To help make the two methods equivalent you'll want to imagine investing/borrowing $PnL_1$ at level $r$ to ensure it stays from the system till $t_2,.$ At the moment yourThose people two PnLs