Question
Assume you just bought 100 call contracts on shares of Company A. The options can be exercised in one year's time at the strike price
Assume you just bought 100 call contracts on shares of Company A. The options can be exercised in one year's time at the strike price of $26. You paid $0.10 per option. The shares of the company are currently selling at $23.50 per share. If the company's share price rises to $27 in one year's time, what will be your net gain from the call options?
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Bond Markets Analysis and Strategies
Authors: Frank J.Fabozzi
9th edition
133796779, 978-0133796773
