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Andromeda Companies has the following options available: Option Type Exercise Price Option Premium Call 40 2.65 Put 45 3.12 If Andromedas stock price is $42
- Andromeda Companies has the following options available:
Option Type | Exercise Price | Option Premium |
Call | 40 | 2.65 |
Put | 45 | 3.12 |
If Andromedas stock price is $42 at the expiration of the options,
- What is the profit to a buyer of the call option? (1 point)
- What is the profit to the seller of the put option? (1 point)
- What is the breakeven stock price at expiration for the call option? (1 point)
- What is the breakeven stock price at expiration for the put option? (1 point)
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