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1 . Assume you have purchased a $ 1 8 strike price AT&T ( T ) Call option at a Call option premium equal to
Assume you have purchased a $ strike price AT&T T Call option at a Call option premium equal to $ This Call option has three months until expiration.
a What is your maximum risk for this Call option?
b What is your maximum reward for this Call Option?
c Wha
d If T settles at $ on the Call Option expiration day, then what is your profit or loss?
e If T settles at $ on the C
f If T settles at $ on the Call Option expiration day, then what is your profit or loss?
g If you sold this Call option as an opening posi
h If you sold this Call option as an opening position, then what is your maximum reward for this Call Option?
i If you sold this Call option as an opening position, then what is the expiration day breakeven level for this Call?
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