Question: with put and call options. 2. What factors could affect the premium paid on a put option? Describe how each factor affects the size of

with put and call options. 2. What factors could affect the

with put and call options. 2. What factors could affect the premium paid on a put option? Describe how each factor affects the size of the premi um 3. A cal option on FDX stock specifies a strike price of S180. Today's price of the stock is S174. The premium on the call option is $5. What price does FDX stock have to reach in order to break even assuming no transaction costs? 4. Compared to the FDX call option above with another FDX call option withan exercise price of S190 and a premium of S1. What might an investor who prefers the $190 strike, S1 call option expect compared to an investor who prefers the $180 strike price, S5 option? Which one would be able to leverage capital more to take advantage of the stock moving to $200 based on some extremely good news about FDX

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