Microsoft (MSFT) Expiration November 015, 2019 November 15, 2019 November 015, 2019 December 20, 2019 December...

  

Transcribed Image Text:

Microsoft (MSFT) Expiration November 015, ☐☐☐2019 November 15, 2019 November 015, 2019 December 20, 2019 December 20, ☐☐☐2019 December 20, 2019 Strike 135 140 145 135 140 145 Underlying stock price = $1390.69 Call 6.78 3.60 1.50 7.93 4.88 2.71 Put 1.89 3.70 6.65 3.28 5.30 8.10 ces Required: Refer to Figure 15.1, which lists the prices of various Microsoft options. Use the data in the figure to calculate the payoff and the profit/loss for investments in each of the following December 2019 expiration options on a single share, assuming that the stock price on the expiration date is $141. (Loss amounts should be Indicated by a minus sign. Round "Profit/Loss" to 2 decimal places.) a. Call option, X= 140 b. Put option, X= 140 X=145 X= 145 c. Call option, 2 18 Xx d. Put option, 5& Payoff PARACE Profit/Loss 16644 Microsoft (MSFT) Expiration November 015, ☐☐☐2019 November 15, 2019 November 015, 2019 December 20, 2019 December 20, ☐☐☐2019 December 20, 2019 Strike 135 140 145 135 140 145 Underlying stock price = $1390.69 Call 6.78 3.60 1.50 7.93 4.88 2.71 Put 1.89 3.70 6.65 3.28 5.30 8.10 ces Required: Refer to Figure 15.1, which lists the prices of various Microsoft options. Use the data in the figure to calculate the payoff and the profit/loss for investments in each of the following December 2019 expiration options on a single share, assuming that the stock price on the expiration date is $141. (Loss amounts should be Indicated by a minus sign. Round "Profit/Loss" to 2 decimal places.) a. Call option, X= 140 b. Put option, X= 140 X=145 X= 145 c. Call option, 2 18 Xx d. Put option, 5& Payoff PARACE Profit/Loss 16644

Answer rating: 100% (QA)

1 2 A 3 B 135 Call Strike 135 135 ... View the full answer