Question: please use spreadsheets and show formulas 0,0 SECTION III - OPTIONS (40 POINTS) Don't worry about decimals - all answer boxes were fomated automatically -

please use spreadsheets and show formulas please use spreadsheets and show formulas 0,0 SECTION III - OPTIONS (40

0,0 SECTION III - OPTIONS (40 POINTS) Don't worry about decimals - all answer boxes were fomated automatically - highy recommended to use the excel formulas Question 6 (10 points) Calculate the Payoff. ProfitLoss, BE of the stock and HPR% given the information below (2 point per option answer - no partial credit Exercise Action Option Premium Stock Price Payoff Profit/Loss BE Stock HPR % Price Buy Call 84.00 6.00 95.00 Buy Put 89.00 9.50 79.00 Sell Call 94.00 12.00 95.00 Sell Put 99.00 2.00 93,40 Buy Straddle 124.00 22.00 167.00 Question 7 (10 points) Calculate the Payoff and Profit/Loss given the information below (2 points each): CALL Exercise Price PUT Apr 2021 Mar 2021 Apr 2021 May 2021 Mar 2021 May 2021 100 8.20 17.40 2.10 5.95 10.80 11.05 9.70 105 5.70 15.05 3.50 14.85 8.70 12.85 110 3.75 7.35 10.80 6.32 17.75 115 2.80 5.45 15.65 22.70 8.70 6.85 8.50 12.10 120 2.35 3.70 19.75 28.35 125 2.05 3.25 5.05 15.85 24.65 32.25 Action Option Exercise Prices Premiums (Calc the net amount) Stock Price Total Payoff Total Profit 100 Buy Bull Call Mar 120 110 120 Buy Bear Put Apr 100 125 100 Long Butterfly Call 110 120 ninu

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!