Commissions

Dollar Amount Commission Rate

$2,500 or less $29+0.016 of dollar amount

$2,501-$10,000 $49+0.008 of dollar amount

Over $ 10,000 $99+0.003 of dollar amount

Maximum charge: $40 per contract on the first two contracts, plus $4 per contract thereafter

Minimum charge: $37.25 plus $1.75 per contract

Using the commission schedule determines the commissions on the following option transactions:

question:

a). Twenty contracts at a price of4 3/4?