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Intro An investor has $16,000 to invest and believes that the IBM stock price is going to increase in the following 12 months from the
Intro An investor has $16,000 to invest and believes that the IBM stock price is going to increase in the following 12 months from the current stock price of $200. Call options on IBM stock expiring in 12 months have a strike price of $223 and sell at a premium of $20 each. Assume that the stock price will be $276 per share after 12 months. Part 1 - Attempt 3/3 for 10 pts. What will be the investor's rate of return if they buy 80 shares? 3+ decimals Submit Part 2 Attempt 1/3 for 10 pts. What will be the investor's rate of return if they buy 800 call options? 2+ decimals Submit
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