In your scenario it looks like the $100 is the premium which is a sunk cost. You don't get it back if you choose to exercise the option (you just pay the strike price x 100 for each option). In general you probably won't need to exercise the option unless there are dividends.
Thanks for the explanation. I forgot to say it was a call contract. It was just a hypothetical example to understand the inner workings of this particular options trade. I was a vendor here indeed. I run a trading journal tool called trademetria.
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Options trading is a very subtle thing. The mechanism on the one side recalls of forex trading, but at the same time it's completely different system which demands a bit different approach. When you open a trade with a certain position size, then if you go long, and the deal works out, you receive the sum you initially invested + certain percentage ratio. In case of failure, you just lose the money you allocated for this position.