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Calculate the dollar return on the various portfolio strategies (5) Assume that you have purchased a call option with a strike price $60 for $5.
Calculate the dollar return on the various portfolio strategies (5)
- Assume that you have purchased a call option with a strike price $60 for $5. At the same time you purchase a put option on the same stock with a strike price of $60 for $4. If the stock is currently selling for $75 per share.
- Assume that you purchased shares of a stock at a price of $35 per share. At this time you wrote a call option with a $35 strike and received a call price of $2. The stock currently trades at $70.
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