Q) Column C represents the price of a ______ with an exercise price of _______.

a) call, 65 b) put, 70 c) call,50 d) put, 80 e) put, 75

Q) Column D represents the price of a ________ with an exercise price of _______.

a) call, 65      b) put, 70     c)call, 50     d) put, 80    e) put, 75

S A B C D

50 2 27 25 0

60 3 20 15 0

70 7 14 5 5

80 15 9 0 15

 

Answer rating: 100% (QA)

For Column C we can see that pay off decreases as Spot price increase So we can say this is ... View the full answer