Q1: An investor owns IMB 40 puts, which are currently trading on the market for $5....
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Q1: An investor owns IMB 40 puts, which are currently trading on the market for $5. If IMB Inc. stocks are currently trading at $36, what is the time value today? Q2: An investor writes a call option, for which the premium = $3. Assuming the strike price is $30, provide a P/L, net P/L chart, and a graph outlining price vs. profit. Q1: An investor owns IMB 40 puts, which are currently trading on the market for $5. If IMB Inc. stocks are currently trading at $36, what is the time value today? Q2: An investor writes a call option, for which the premium = $3. Assuming the strike price is $30, provide a P/L, net P/L chart, and a graph outlining price vs. profit.
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