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a. You have just purchased the options listed below. Based on the information given, indicate whether the option is in the money, out of the

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a. You have just purchased the options listed below. Based on the information given, indicate whether the option is in the money, out of the money, or at the money, whether you would exercise the option if it were expiring today, what the dollar profit would be, and what the percentage return would be. (Remember to include the premium in the profit and return calculations of the option. Round your answer to 2 decimal places.) Company Option Strike Profit Exercise? (Click to select) AAPL AAPL AAPL AAPL Call Put Call Put Today's Stock Price $10.26 $10.26 $23.93 $23.93 10 10 25 25 In/Out of the Money? In the money A Out of the money - Out of the money - (Click to select) 4 Premium 1.06 0.91 1.01 2.21 Return 1% 1% 1% 1% (Click to select) In the money (Click to select) 4 b. Now suppose that time has passed and the stocks' prices have changed as indicated in the table below. Recalculate your answers to part a. Company Option Strike Profit In/Out of the Money? (Click to select) (Click to select) Exercise? (Click to select) A Today's Stock Price $11.23 $11.23 $27.00 $27.00 AAPL AAPL AAPL AAPL Call Put Call Put (Click to select) 4 10 10 25 25 Premium 1.06 0.91 1.01 2.21 Return 1% % % % (Click to select) A (Click to select) (Click to select) (Click to select) 4

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