Question: Repeat the option price calculation in the previous question for stock prices of $80, $90, $110, $120, and $130, keeping everything else fixed. What happens

Repeat the option price calculation in the previous question for stock prices of $80, $90, $110, $120, and $130, keeping everything else fixed. What happens to the initial option _ as the stock price increases?

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S 0 80 t 0 S 80 t 1 S 64 t 1 S 104 delta 04651 0 07731 B 285962 0 617980 premium 86078 0 18... View full answer

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