Question: Jane bought an October 2 0 0 put on AAPL stock with the premium being $ 3 / share . What is her profit /

Jane bought an October 200 put on AAPL stock with the premium being $3/share. What is
her profit/loss per share at expiration date if AAPL stock price is $195/share? Sketch the
profit/loss graph for this option

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!

Q:

Below are several specific purpose statements for classroom speeches. Identify the problem ( or problems ) with each.To inform my audience about Vietnam. The purpose statement is very broad, the...

Q:

2) Problems to work through 1. You purchase one AAPL July 125 call contract (equaling 100 shares) for a premium of $5. You hold the option until the expiration date, when AAPL stock sells for $123...

Q:

Problems to work through 1. Use the table on Microsoft options to calculate the payoff value and profits for each of the following June 2017 contracts. Assume the spot price is $71. a) Call option,...

Q:

2) Problems to work through 1. You purchase one AAPL July 125 call contract (equaling 100 shares) for a premium of $5. You hold the option until the expiration date, when AAPL stock sells for $123...

Q:

2) Problems to work through 1. You purchase one AAPL July 125 call contract (equaling 100 shares) for a premium of $5. You hold the option until the expiration date, when AAPL stock sells for $123...

Q:

LONG-LIVED ASSETS Refer to the notes to the financial statements.The first note, "Summary of Significant Accounting Policies," should provide information about the company's depreciation and...

Q:

LONG-LIVED ASSETS Refer to the notes to the financial statements.The first note, "Summary of Significant Accounting Policies," should provide information about the company's depreciation and...

Q:

NEED THIS ANSWERED RAPIDLY PLEASE. Michael and Jeanette Boyds Tax Return Michael D. and Jeanette S. Boyd live with their family at the Rock Glen House Bed & Breakfast, which Michael operates. The Bed...

Q:

Please help. i need this answered urgently. Michael and Jeanette Boyds Tax Return Michael D. and Jeanette S. Boyd live with their family at the Rock Glen House Bed & Breakfast, which Michael...

Q:

Suppose you purchase Apple Inc.s stock for $120 and a PUT option for $4.55 per share with a strike price of $120 per share. At the same time, you sell a call for $5.59 with a strike price of $120....

Q:

Please help i am having trouble with my assignment this is my last module to graduate please help me do it so can compare my answers and pass. FACULTY DEPARTMENT SUBJECT MARKS ASSESSSMENT ECONOMICS...

Q:

The Organization for Economic Co-operation and Development (OECD) measures the productivity of its member countries as GDP per hour worked. The highest productivities reported in 2007 were in...

Q:

The demand curve is: QD = 500 - 1/2 P. a. Calculate the (point) price elasticity of demand when price is $100. Is demand elastic or inelastic? b. Calculate the (point) price elasticity of demand when...

Q:

DP1.7 The Hubble space telescope was repaired and modified in space on several occasions [44, 46, 49]. One challenging problem with controlling the Hubble is damping the jitter that vibrates the...

Q:

Pharoah Company reported the following amounts for 2022: Raw materials purchased $95,200 Beginning raw materials inventory 5,824 Ending raw materials inventory 5,040 Beginning finished goods...