1. Apple is trading at $300 I can buy 100 shares and outlay 30k or buy 1 call option with a strike price x of 310, that expires in August. What is my return on equity if Apple closes at 330 at expiration if my option cost is $8. Remember, options are at a multiple of 100. a cost of 8 = 800. A gain of 20 points = $2,000