Assume That you have just sold a share for a loss of $75, for tax purposes. You
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Assume That you have just sold a share for a loss of $75, for tax purposes. You still wish to maintain exposure to the sold share. Suppose that you buy a call with a strike price of $70 and a price of $6.75. Calculate the effective price paid to repurchase the share if the price after 35 days is $80.
Related Book For
Fundamentals of Financial Management
ISBN: 978-0324597707
12th edition
Authors: Eugene F. Brigham, Joel F. Houston
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