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1) An investor purchases a call option on a stock when the current market price is $56 for a premium of $3 per share with
1) An investor purchases a call option on a stock when the current market price is $56 for a premium of $3 per share with an exercise price of $58 per share. The stock hovers between $55 and $57 during the option period and is at $55.27 at expiration. What did the investor make per share on the option?
a. -$3 b. +$3 c. -$2.73 d. +$5.73
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