Question
Naked call options 9. Assume an investor writes a call option for 100 shares at a strike price of 30 for a premium of 5.75.
Naked call options
9. Assume an investor writes a call option for 100 shares at a strike price of 30 for a premium of 5.75. This is a naked option.
a. What would the gain or loss be if the stock closed at 26?
b. What would the break-even point be in terms of the closing price of the stock?
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The Everything Improve Your Credit Book
Authors: Justin Pritchard
1st Edition
1598691554, 978-1598691559
