Suppose you buy call options on Microsoft stock. Each option costs $2 and has a strike price

Question:

Suppose you buy call options on Microsoft stock. Each option costs $2 and has a of $40 and an expiration date of July 1. Discuss whether you would exercise the options in each of the following situations and why.
a. It is March 1 and Microsoft’s stock price is $30.
b. It is March 1 and the stock price is $40.10.
c. It is March 1 and the stock price is $50.
d. It is June 30 and the stock price is $50.
e. It is June 30 and the stock price is $40.10. Strike Price
In finance, the strike price of an option is the fixed price at which the owner of the option can buy, or sell, the underlying security or commodity.