Question: PLEASE HELP ME WITH THE CALCULATIONS. I DONT UNDERSTAND HOW TO FIND THE SOLUTIONS You purchase a long put option giving you the right to

PLEASE HELP ME WITH THE CALCULATIONS. I DONT UNDERSTAND HOW TO FIND THE SOLUTIONS

  1. You purchase a long put option giving you the right to sell 100 shares of Bohm Corporation for a premium of $2,400.The strike price of the option is $100 and the final stock price is $10.What is your profit or loss?
  2. You have a short put option giving the purchaser the right to sell 100 shares of Rothbard Corporation for a premium of $4,100.The strike price of the option is $30 and the final stock price is $85.What is your profit or loss?
  3. A call option has a strike price of 70 in dollars, and a time to expiration of 0.7 in years.If the stock is trading for 19 dollars, N(d1) = 0.5, N(d2) = 0.4, and the risk free rate is0.04, what is the value of the call option?
  4. You purchase a long call option giving you the right to buy 100 shares of Mises Corporation for a total premium of $1,400.The strike price on the option is $10 and the final stock price is $85.What is your profit or loss?

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:

Complete the payroll register of V Dougherty for the week ended 6 May 2022 using the data below. Ordinarily 35 hours per week are worked. Annual leave hours attract an additional 17.5% leave loading....

Q:

Given here are the data from a dependent variable and two independent variables. The second independent variable is an indicator variable with several categories. Hence, this variable is represented...

Q:

Last Sale Net Bid Ask Open Int Puts Last Sale Net bid Ask Vol Open Int 16Aug 155.00(1619H155-E) 6.45 0.75 6.95 7.25 9 16Aug 155.00(1619T155-E) 1.18 (0.75) 1.17 1.25 61 4505 16Aug 166.00(1619H160-E)...

Q:

PLEASE HELP ME WITH THE CALCULATIONS. I DONT UNDERSTAND HOW TO FIND THE SOLUTIONS You purchase a long put option giving you the right to sell 100 shares of Bohm Corporation for a premium of $2,400....

Q:

1. A short call option is sold for 1,810 dollars and covers 100 shares of Johnson Incorporated. If the Strike price of the option is 50, what is the break-even share price. 2. A put option covering...

Q:

1. A short call option is sold for 1,810 dollars and covers 100 shares of Johnson Incorporated. If the Strike price of the option is 50, what is the break-even share price. 2. A put option covering...

Q:

Question 6 (1 point) You purchase a long call option giving you the right to buy 100 shares of Mises Corporation for a total premium of $1,500. The strike price on the option is $10 and the final...

Q:

Question 6 (1 point) You purchase a long call option giving you the right to buy 100 shares of Mises! Corporation for a total premium of $1,800. The strike price on the option is $15 and the final...

Q:

You purchase a long put option giving you the right to sell 100 shares of Bohm Corporation for a premium of $4,700.The strike price of the option is $80 and the final stock price is $0.What is your...

Q:

You purchase a long put option giving you the right to sell 100 shares of Bohm Corporation for a premium of $4,800.The strike price of the option is $75 and the final stock price is $55.What is your...

Q:

13 1.39 points You estimate that you will need about $61,000 to send your child to college in eight years. You have about $35,000 now. At what rate of return will you just reach your goal? 11.40%...

Q:

Which statement is NOT correct about amylopectin? CLOR Ga amylopectin Eka branched polymer of e plucose units tha polysaccharide. t has similar structure to gycogen. t could be found in animak.

Q:

lim x c o s 2 x 3 c o s x 2 c o s x 1

Q:

Prove that for all integers a, k, and n, gcd (a, n) = gcd (a + kn, n).

Q:

The KL Partnership is owned equally by Kayla and Lisa. Kaylas basis is $20,000 at the beginning of the tax year. Lisas basis is $16,000 at the beginning of the year. Assume partnership debt did not...

Q:

Using the Internet, identify three U.S. companies with a strong reputation for sustainability. Describe the common characteristics of their sustainability efforts.

Q:

Show that if L, R, E 0 , and g are constant, then the amplitude of the steady-state current in Example 10 is a maximum when the capacitance is C = 1/L 2 .

Q:

Using the PSPICE Schematics editor, draw the circuit in Figure P6.73, and use the PROBE utility to find the maximum values of vL(t), iC(t), and i(t). VL () i (t) 0.5 mH 1c Ri 700 6 A R2 500

Q:

Design a minimum-mass symmetric three-bar truss (the area of member 1 and that of member 3 are the same) to support a load P, as was shown in Fig. 2.9. The following notation may be used: Pu = P cos...

Q:

Suppose that X and Y are independent continuous random variables having densities fX and fY, respectively. Compute P{X

Q:

At a party n men take off their hats. The hats are then mixed up and each man randomly selects one. We say that a match occurs if a man selects his own hat. What is the probability of no matches?...

Q:

Suppose that the number of people who visit a yoga studio each day is a Poisson random variable with mean . Suppose further that each person who visits is, independently, female with probability p or...