Question: 4 Based only on the information provided in the option chain, what is the approximate probability of the Dec 1 , $ 2 5 5

4 Based only on the information provided in the option chain, what is the approximate probability of the Dec 1, $255 strike put being exercised?
5 Assume you own TSLA stock at a price of $242, what is the max profit of a covered call strategy using the Dec 8 call stuck at $255?
6 Based only on the information provided in the option chain, and a closing price of $242, what is the implied move, i.e.,+/- range in dollars, of TLSA stock over the upcoming year, based on the Dec 1, $245 puts?
7 Based on a normal distribution, what is the probability that TSLA stock remains with +/- one standard deviation of its current price during the next year?
8 Assume you own TSLA stock at a price of $242, what is the max loss of a protected put strategy using the Dec 1 call stuck at $235?
9 How much did you receive if you sold the most actively traded option in the Dec 1 series on November 15,2023?
10 Assume you did not own TSLA stock and you sold the Dec 8 $250 call. What is you max profit?
11 Assume you own TSLA stock at a price of $230 and you sold the Dec 8 $250 call. What is you max loss?
12 Three month call options, struck at $15.50, on AT&T (T) are trading at $1.42. Assuming the stock is trading at $14 and interest rates are 5%, what is the price of the put with the same strike and expiry? Hint: Use put-call parity.
13 Six month put options, struck at $16.00, on AT&T (T) are trading at $2.35. Assuming the stock is trading at $14 and interest rates are 5%, what is the price of the call with the same strike and expiry? Hint: Use put-call parity.
 4 Based only on the information provided in the option chain,

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!