Question: please answer part a thru c Suppose you think App X stock is going to appreciate substantally in value in the next year. Say the

please answer part a thru c
please answer part a thru c Suppose you think App X stock
is going to appreciate substantally in value in the next year. Say

Suppose you think App X stock is going to appreciate substantally in value in the next year. Say the stock's current price, se. is $80, and a call option expiring in one year has an exercise price, X, of $80 and is selling at a price, C, of $24. With $24,000 to invest. you are considering three alternatives. a. Invest all $24,000 in the stock. buying 300 shares. b. Invest all $24,000 in 1,000 options ( 10 contracts). c. Buy 100 options (one contract) for $2,400, and invest the remaining $21,600 in a money matket fund paying 6% in interest over 6 months ( 12% per year). What is your rate of return for each alternative for the following four stock prices in 6 months? (Leave no cells blonk - be certain to enter " 0 " wherever required. Negative omounts should be indicated by o minus sign. Round the "Percentoge return of your portolio (Bills +100 options) " answers to 2 decimal places.) The total value of your portfolio in six months for each of the following stock picices is: The percentage return of your portfollo in six months for each of the following stock prices is

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