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A trader sells (or writes, or shorts) 100 European call options on a stock with a strike price of $23 and a time to maturity
A trader sells (or "writes", or "shorts") 100 European call options on a stock with a strike price of $23 and a time to maturity of one year. Each option is on one share of the stock. The price of each option is $4. One year later, the price of the underlying asset proves to be $28. What is the traders profit?\ \ Note: A gain is represented by a positive number, a loss is represented by a negative number. Please do not include any symbols other than the decimal point, such as the $ or % sign, or any text in your answer
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