Suppose in April we construct a vertical bull spread on AAPL calls, by writing 10 October 280 contracts and buying 10 October 270 contracts Solve for the investors profit for the following AAPL stock prices at expiration $242 00, $258 00, $274 00, $290 00, $306 00 At what price on AAPL shares does the investor break even The same spread on puts may be a more profitable strategy Answer questions a) and b) again assuming we use October puts Which strategy would you prefer and why AutoSave A Svo ANO 13 Read Only Saved to my Mac Home Insert Draw Design Layout References Mailings Review View Tell me Read Only To save a copy of this document, click Duplicate Listed Options Quotes AAPL (4 22 20) APL do $270 00 Duplicate Puts SES ESS 0 18 Paar 7 of 7 26 of 2509 words English (United States) P

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Question: Suppose in April we construct a vertical bull spread on AAPL calls, by writing 10 October 280 contracts and buying 10 October 270 contracts. Solve

Suppose in April we construct a vertical bull spread on AAPL calls, by writing 10 October 280 contracts and buying 10 October 270 contracts.
1. Solve for the investors profit for the following AAPL stock prices at expiration: $242.00, $258.00, $274.00, $290.00, $306.00.
2. At what price on AAPL shares does the investor break even?
3. The same spread on puts may be a more profitable strategy. Answer questions a) and b) again assuming we use October puts.
4. Which strategy would you prefer and why?

* AutoSave A Svo ANO 13 - Read-Only - Saved to my Mac Home Insert Draw Design Layout References Mailings Review View Tell me Read Only To save a copy of this document, click Duplicate. Listed Options Quotes AAPL (4/22/20) APL do $270.00 Duplicate Puts SES ESS 0. 18 .. Paar 7 of 7 26 of 2509 words English (United States) P

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