You plan to purchase Nike call options with a strike price of $140 and a current ask
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You plan to purchase Nike call options with a strike price of $140 and a current ask premium of $3.75 per share. If you buy 10 contracts, how much will you pay? Suppose that just as the option is about to expire, Nike is selling for $150 per share. What are your options worth? What is your profit (or loss)?
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Because one contract involves 100 shares the cost of a contract is 375 an...View the full answer
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Related Book For
Fundamentals Of Investments Valuation And Management
ISBN: 9781266824012
10th Edition
Authors: Bradford Jordan, Thomas Miller, Steve Dolvin
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