Question
Do calculations of the following? Acer share price is now - $3.20 - You have the right to buy (option) 1,500 Acer shares within the
Do calculations of the following?
Acer share price is now - $3.20 - You have the right to buy (option) 1,500 Acer shares within the next 3 months at $3.20 and pay a premium of 10cents per share (= $150) upfront
a) Case I - Price falls to $2.40 in 3 months - What is the financial outcome for you in such a scenario?
b) Case II - Price rises to $5.40 in 3 months - What is the financial outcome for you in such a scenario?
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Business Statistics For Contemporary Decision Making
Authors: Ken Black
9th edition
978-1-119-3208, 9781119334781, 1119334780, 1119320895, 978-1119320890
