Use the following quotes for JCPenney stock options: November 27, 2015 Calls Strike 8.00 9.00 9.50...

 

Transcribed Image Text:

Use the following quotes for JCPenney stock options: November 27, 2015 Calls Strike 8.00 9.00 9.50 10.00 10.50 11.00 Puts Strike - FRA 7.00 8.50 9.00 9.50 in The Money Contract Name JCP151127C00008000 JCP151127C00009000 JCP151127C00009500 JCP151127C00010000 JCP151127C00010500 JCP151127C00011000 Contract Name Last 1.62 0.98 0.74 0.40 0.28 0,16 Last JCP151127P00007000 0.06 JCP151127P00008500 0.31 JCP151127P00009000 0.41 JCP151127P00009500 0.65 Bid 1.79 1.00 0.69 0.44 0.26 0.15 Bid 0.03 0.18 0.29 0.47 Asi 1.89 1.10 0.78 0.48 0.29 0.18 Ask 0.08 0.21 0.33 0.50 Change 0.00 0.00 0.00 0.00 0.03 -0.01 Change 0.00 0.00 0.00 0.00 Change 0.00% 0.00% 0.00% 0.00% 12.00% -5.88% Change 0.00% 0.00% 0.00% 0.00% List Stradde Volume 12 6 13 24 19 51 Volume 24 9 10 32 Lookup Option Open Interest 20 6 50 105 47 41 Open Interest 24 9 10 83 implied Vality 56.45% 51.95% 50.00% 45.12% 43.75% 44.34% implied Vality 67,58% 53,13% 50,20% 49.22% If you wanted to purchase the right to sell 2800 shares of JCPenney stock in November 2015 at a strike price of $9.50 per share, how much would this cost you? QUESTION 17 The contract size for platinum futures is 50 troy ounces. Suppose you need 500 troy ounces of platinum and the current futures price is $1,265 per ounce. How many contracts do you need to purchase? How much will you pay for your platinum? What is your dollar profit if platinum sells for $1,290 a troy ounce when the futures contract expires? What if the price is $1,210 at expiration? (A negative value should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to the nearest whole number.) QUESTION 18 You purchase 2500 bonds with a par value of $1,000 for $983 each. The bonds have a coupon rate of 11.7 percent paid semiannually and mature in 10 years. How much will you receive on the next coupon date? (Do not round intermediate calculations. Round your answers to the nearest whole number.) Use the following quotes for JCPenney stock options: November 27, 2015 Calls Strike 8.00 9.00 9.50 10.00 10.50 11.00 Puts Strike - FRA 7.00 8.50 9.00 9.50 in The Money Contract Name JCP151127C00008000 JCP151127C00009000 JCP151127C00009500 JCP151127C00010000 JCP151127C00010500 JCP151127C00011000 Contract Name Last 1.62 0.98 0.74 0.40 0.28 0,16 Last JCP151127P00007000 0.06 JCP151127P00008500 0.31 JCP151127P00009000 0.41 JCP151127P00009500 0.65 Bid 1.79 1.00 0.69 0.44 0.26 0.15 Bid 0.03 0.18 0.29 0.47 Asi 1.89 1.10 0.78 0.48 0.29 0.18 Ask 0.08 0.21 0.33 0.50 Change 0.00 0.00 0.00 0.00 0.03 -0.01 Change 0.00 0.00 0.00 0.00 Change 0.00% 0.00% 0.00% 0.00% 12.00% -5.88% Change 0.00% 0.00% 0.00% 0.00% List Stradde Volume 12 6 13 24 19 51 Volume 24 9 10 32 Lookup Option Open Interest 20 6 50 105 47 41 Open Interest 24 9 10 83 implied Vality 56.45% 51.95% 50.00% 45.12% 43.75% 44.34% implied Vality 67,58% 53,13% 50,20% 49.22% If you wanted to purchase the right to sell 2800 shares of JCPenney stock in November 2015 at a strike price of $9.50 per share, how much would this cost you? QUESTION 17 The contract size for platinum futures is 50 troy ounces. Suppose you need 500 troy ounces of platinum and the current futures price is $1,265 per ounce. How many contracts do you need to purchase? How much will you pay for your platinum? What is your dollar profit if platinum sells for $1,290 a troy ounce when the futures contract expires? What if the price is $1,210 at expiration? (A negative value should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to the nearest whole number.) QUESTION 18 You purchase 2500 bonds with a par value of $1,000 for $983 each. The bonds have a coupon rate of 11.7 percent paid semiannually and mature in 10 years. How much will you receive on the next coupon date? (Do not round intermediate calculations. Round your answers to the nearest whole number.)