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Assume you purchased four call option contracts with 90 days until the expiration date on a Stock BB with a strike price of $70 and
- Assume you purchased four call option contracts with 90 days until the expiration date on a Stock BB with a strike price of $70 and a premium of $2.50. The stock is currently trading at $68 and assume that at expiration, Stock BB is trading at $75.80:
- What are your call options worth at expiration?
- What is your net profit on the call option contracts?
- Using a HPR, what is the rate of return over the 3 month period?
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Fundamentals Of Multinational Finance
Authors: Michael H. Moffett, Arthur I. Stonehill, David K. Eiteman
4th Edition
9780132138079
