You bought one November call option with strike price $130. Suppose the stock price at option expiration

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You bought one November call option with strike price $130. Suppose the stock price at option expiration is $132. begin{tabular}{|llll|} hline Expiration & Strike & Call & Put hline 27-Sep-2019 & 130 & ( 8.65 ) & ( 1.03 ) hli

a) Would you exercise your call? What is the profit on your position? yes exercise, there would be a $200 profit.

b) What if you had bought the November call with strike price $135? no , 0 profit ( $1112 loss)

c) What if you had bought the November put with strike price $130?

d) What if you had bought the November put with strike price $135?

Related Book For answer-question

Investments

ISBN: 9780073530703

9th Edition

Authors: Zvi Bodie, Alex Kane, Alan J. Marcus

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Posted Date: Feb 02, 2023 02:03 AM

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You bought one November call option with strike price $130. Suppose the stock price at option expiration

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Investments

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